AFTER a series of downwards adjustments over the past six or eight weeks – producing falls of 70-80c/kg carcase weight in some regions – direct consignment slaughter cattle grids are mostly unchanged this week.

Some downwards movements were seen in eastern regions of SA and western Victoria, but that was mostly about aligning with competitors who had moved earlier.

While vendor inquiry in Queensland has eased noticeably over the past couple of weeks as prices have slipped, most processors in the northern state remain well-covered for slaughter stock through to early/mid September.

Quotes seen this morning from competitive processors in southern parts of Queensland have heavy cows on 670c/kg and four-tooth grass heavy steer on 760c. Some of those steer quotes are for HGP-free, with implanted cattle 10c less. One ‘outlier’ southern Qld export processor still shows 720c/kg on best cows, but that’s on the basis of cattle from tick-free areas only, where the logistics/dipping hassles are reduced, and may be subject to adjustment soon.

Some Certified Grassfed MSA yearling steer 0-4 teeth programs in Queensland are showing 860c/kg this week.

Central Queensland plants are 20c/kg behind those rates, and North Queensland another 20c behind that, due to the freight differential.

Numbers are now starting to flow out of bigger cattle operations in the state’s northwest, central west and central regions, however September may see a rise in that activity, as final round musters move into gear after a late start to the season caused by February-March rain. Channel country turnoff is yet to make a real appearance, but is likely to start soon, Beef Central understands.

One Queensland processor’s livestock manager said interest from vendors further east and south in the Darling Downs/Maranoa region had gone ‘very quiet.’

“Bookings are certainly slower this week, and last week as well, but we’ve not yet been pushed into a corner,” another multi-site processor contact said.

“Some people with oats may be holding back to utilise remaining feed, others may have sold a few dry cows earlier and don’t yet feel motivated to lighten-off further, so generally, vendor interest has lightened off for the time-being,” he said.

“From what I see on the Warrego Highway, those trucks heading east this past week are mostly carting feeders – not slaughter cattle. Next month might see that change a little.

“Additional to that, there are those ‘unseen’ northern cattle gathering at Morven, that are heading south via inland routes for processing in Victoria, South Australia or NSW.”

Further south, all the way into South Australia cattle were ‘doing well’ as a result of earlier rain and the mild winter, and might not start to appear in numbers on kill rosters until well into September, he said.

Rain impact

Further rain forecast for parts of Australia over the next eight days could have some impact on supply patterns, processor contacts suggest.

Falls of 15-50mm are forecast across the western half of NSW and Victoria, extending into eastern South Australia and parts of Central Australia. More isolated falls of similar quantity have fallen over the past week in eastern parts of NSW and Victoria, and western Tasmania (see today’s separate BOM weekly rainfall report)

After an unusually wet winter, parts of Central Australia may delay scheduled turnoff for a week or two until country dries out, one contact suggested.

In southern states, there’s little change evident in over-the-hooks rates this week, which may only motivate southern buyers to press north again to supplement modest local supply, because their prices now look relatively more attractive than those being offered in Queensland.

Best direct consignment quotes seen in eastern regions of South Australia and southern NSW this morning for heavy cows were 760c/kg and grass four-tooth heavy grass steer 830c. MSA yearling steer in eastern SA is back to 910c/kg this week, having fallen from 940c only three or four weeks ago, with heavy cows 790-800c on some grids and MSA-eligible cows 810c.

Some large southern export plants are currently holding solid bookings for the next two-and-a-half to three weeks, and ‘doing it very easy,’ one contact suggested. Supplementary-fed and grainfed kills are making it easier for some southern operators to keep their rosters fuller.

“I think we are starting to see the tightness of supply coming to an end in the south,” one southern processor commented this morning.

Seasonal closures and reduced daily tallies are still evident in some southern plants, however the TFI Murray Bridge facility is back at work since Monday after a two-week closure for installations. Ultimately the intention is to lift throughput at Murray Bridge from the current level of 750/day to 1100, but that will take time.

Saleyards channel

Saleyards numbers were generally lower in early trading this week.

Gunnedah yarded mixed quality cattle 1550 this morning, down 730 on last week. yarding. All major buyers were in attendance in a market that saw the few prime heavier cattle offered improve in value, while most other grades were cheaper. Some better lines of restocker heifers saw the top end of that category improve to make from 340-524c/kg. Score 2 and 3 cows were 15c cheaper, with score 2 cows selling from 348-364c/kg; score 3s from 358-370c; and prime heavy cows firm, making from 380-412c/kg.

Tamworth yarded 1195 yesterday, down a couple of hundred on the previous Monday. The yarding included increased numbers of quality prime heavy cows. Some usual orders were absent however most buyers attended for steady competition. Prime yearling cattle to the trade made from 442c to 500c/kg. Yearling steers to feed were limited and lacked quality to be 5c cheaper and range from 510-562c/kg. Score 2 cows to the processor were 10c cheaper to make from 302-359c/kg, while score 3s improved in quality and in price to make from 340-385c. Prime heavy cows were 3-5c dearer to make from 380-405c.

Mortlake yarded 1082 this morning, down 330 on a week earlier. Quality was again mixed reflecting a typical winter yarding with cows accounting for more than half of the offering. The market remained firm across the trade and bullock categories with the majority of cattle purchased by feeders. Bullocks sold to a top of 490c while grown steers reached 477c and crossbred steers made up to 455c/kg. Beef cows returning to the paddock sold to 392c/kg.

Roma numbers were well back this morning to around 4500, but that follows three or four busy weeks where numbers ranged from 10.000 to above 12,000 head. No report has yet been provided, but will be published.