AFTER pushing well ahead of direct consignment offers over the past fortnight, saleyard slaughter cow prices have generally eased 20-30c/kg in the past week, as some southern plant operators lighten-off kill numbers and retreat from record price territory seen earlier in northern selling centres.

The National Livestock Reporting Service’s Processor Cow Indicator has dropped from+375c/kg liveweight on 4 August, to 355.75c today, a drop of 5.3pc in a week.

Saleyards offerings are generally down this week, with slaughter cows across three states well back from rates seen earlier this month. Part of that appears to be vendors sensing that the best of the pricing has now passed, after Roma yarded a hefty 3500 cows on Tuesday last week.

Some northern processors’ over-the-hooks grids have risen 20-30c/kg this week, but some of that at least is about keeping pace with competitors who adjusted offers earlier, rather than hitting new highs.

Competitive quotes in southern Queensland this morning had heavy slaughter cows +300kg at 640c/kg, and four-tooth grass ox 700-710c/kg. Some reports suggest 720c/kg in places.

Central Queensland plants are 10c or 20c/kg behind those rates.

In southern states, there are little changes evident in other the hooks markets. We’ve seen over-the-hooks grids in eastern parts of South Australia and southern NSW this morning at 720c/kg on heavy cows, and grass four-tooth ox 790c. Both are up 20c/kg on rates see a fortnight ago.

Despite evidence that some southern processors have lowered kill numbers this week in the face of high procurement costs (made worse by freight bills of $120-$150 a head to get northern cattle home), most remained somewhat active in the Queensland saleyards and paddock markets this week. One southern NSW last week reduced shifts to three days a week, in the face of current procurement cost pressures.

Northern cattle are clearly still making up substantial parts of some southern processors kills, with Victoria’s adult slaughter tally last week at 26,393 head, still up 18.7pc on the same week last year.

Slaughter appears capped below 160,000 head

National adult cattle slaughter bounced back a little last week, lifting 3.7pc on the week before to 156,318 head.

The big surge was seen in Queensland, now close to its seasonal high at 81,181 head, representing 52pc of the national total.

Weekly kills since late May have struggled to get past current levels due to plant labour issues, with  the industry yet to exceed 159,000 head over any seven-day cycle this year, despite the lucrative meat market opportunity that beckons.

Saleyards trends

Roma sale this morning saw numbers back more than 3500 head, to 6400. Bullocks and cows could not attract the same demand as the previous sale. Grown steers 500-600kg made from 320-488c/kg to processors. Bullocks +600kg sold to 436c and averaged 406c/kg. A large drop in cow numbers could not help maintain the price levels of the previous sale. Score 2 cows 400-520kg sold from 240- 330c/kg, score 3s over 520kg sold from 310-386c to average 361c.

Wagga sale yesterday yarded 3400. On the export front, heavy steers and bullocks suitable for processors were scarce, with the bulk selling from 422-464c/kg. Cow numbers saw a price correction of 40c and more in places. Heavy cows from 360-417c/kg, while leaner cows weighing less than 520kg exhibited varying price trends influenced by fat cover.

Gunnedah went against the trend, adding 2100 this week to yard 3700 yesterday, after no sale was held last week with flood conditions prevailing at the saleyards and the drawing area. Medium cows were dearer 320-360c/kg. Three score cows lifted slightly 326-379c/kg. Heavy four score cows to a cheaper trend 380c to 423c/kg.

Wodonga sale this morning yarded only 420 head, with cows again making up a fair share of the offering. Prices across trade and export classes were distorted due to insufficient numbers. On the export side, well-bred steers 500-600kg were primarily purchased by feedlots, with prices ranging from 420-499c/kg. Heavy steers and bullocks suitable for processors sold within the range of 440-460c/kg. In the cow sale quality was very mixed, heavy cows were in limited numbers and buyers did drop their weight range to acquire stock. The bulk making from 365-420c/kg. Heavy dairy cows sold to solid bidding reaching a top price of 396c/kg. Leaner cows, on the other hand under 520kg sold from 226-388c/kg.