IFA National Livestock Chairman Angus Woods said that cattle supply numbers have tightened considerably in the last few days with some factories out of cattle last Thursday/Friday and struggling to get adequate supplies for the kill this week.
Prices have kicked on with farmers insisting on price increases of up to 10c/kg.
Flat prices of €4.00 and €4.05/kg have been paid for Angus stock. In addition , farmers are bargaining and getting flat prices on O grade stock and over 30 month cattle.
The base price on the QPS for steers has also moved up with €3.75/kg now more common and €3.85 for heifers. Cow prices have also kicked on by up to 10c/kg.
In the UK, the price has moved on with the AHDB reporting the R3 steer price up another 2p/kg at £3.63/kg, which is equivalent to €4.54/kg. With the increase in the British price and the exchange rate at less than 84p/€, there was significant scope for the factories to increase prices.
Against a more positive market background farmers should dig in hard and demand strong price increases from agents and factories. Farmers selling cattle out of sheds need a substantial price rise at this time.