Just when you thought it was safe to come out from behind the sofa!!!!
This week has possibly seen the biggest jump in the fat cattle trade in living memory, with prime cattle jumping in some cases up to 20p/kg. Things are very volatile with some processors seemingly very short of stock. A major battle is underway and it’s going to be a case of who’s going to blink first!! The rise in price is extremely welcome for beef producers but we should caution that massive jumps in price bring all sorts of pressures within the supply chain and one has to hope that consumers will be able to handle the price rises down the line or we may see an influx of cheaper foreign beef.
Cows in the last week have risen 10p but we strongly believe we are likely to see further rises as a result of the FMD outbreak in Germany. News this week that Defra has banned imports from Germany which has an 18% share of the UK pork market are bound to have an impact. Cows varying between 430-445 p dependent on quality and spec. More cull dairy and beef cows needed every week to meet demand.
The store cattle trade remains especially strong with keen competition North and South of the Border. Firm orders for forward stores, all Angus and also organics to move on a farm-to-farm basis
Demand for hoggs has eased as the week has gone on with some processors really reducing orders, complaining about tricky export conditions despite the weakening of Stirling. Prices remain very competitive with prime hoggs anything from 690-740p in the last week dependent on location and specification.
The sheep trade is approximately £1/kg better than this week last year which is extremely welcome.
Looking forward it is anticipated that demand will improve for Valentines Day on the 14th February and Ramadan on the 28th February.
Ewes to 500p in the last week. Trade very buoyant but slightly easier on the week.
Organic beef cattle remain very keenly sort after with prices in the region of 630-640p dependent on spec.
Organic prime hoggs remain keenly competed for with strong premiums of at least 20-30p available. Organic hogg numbers typically begin to ease off now so it will be interesting to see where the trade goes in next month.
