Beef Prices on The Move

IFA Livestock Chair Declan Hanrahan said beef prices continue to strengthen as cattle supplies tighten further and demand remains strong across our key export markets.

“The Bord Bia Prime Export Benchmark Price has increased for the second consecutive week, reflecting the continued strength of the European beef market. The Prime Irish Composite Price still lags 37c/kg behind the Prime Export Benchmark price and this gap needs to close further as market conditions improve,” he said.

Cattle throughput is now back by over 86,000 head for the year to date, with the latest weekly kill back by over 3,000 head on the same week last year, a trend which is expected to continue in the coming weeks as supplies remain very tight.

In the UK, cattle throughput is also tightening, and beef prices are strengthening as this continues to impact the market.

The IFA Livestock Chair said factories are very anxious for cattle and are sourcing stock for next day processing. They are having to pay up to 20c/kg above quoted prices to secure supplies as farmers push back strongly against the lower quotes of recent weeks.

“Factory agents are also very active in marts, where prices for finished cattle are easily comparable with, and in many cases, above factory prices. This is a realistic alternative for farmers with cattle to sell.”

“Supplies are tight and will tighten further. Cattle numbers in our key export markets are low, demand remains strong and as prices continue to strengthen in these markets, it provides ample opportunity for factories to increase beef prices further,” he concluded.