IFA National Livestock Chairman Angus Woods said cattle supplies are extremely tight with numbers in factory lairages very scarce and agents and procurement managers actively looking for stock.
Angus Woods said the factories are trying to frighten farmers into selling cattle on the threat of price cuts. He said farmers should only move stock as they become fit.
The IFA livestock leader said there is no market basis for pressure on the trade with cattle prices in our main export market in the UK continues to rise with the AHDB reporting that “demand is currently ahead of available supplies”. UK cattle supplies are at £3.77/kg for R3 steers, which is the equivalent of €4.51/kg.
He said the market view is that demand will actually strengthen over the next month with the world cup. In addition he said the most recent EU Commission forecast was more positive in terms of tighter production and increased consumption for 2018.