The Irish Beef and Lamb Association (IBLA) has suggested that farmers can expect as much as flowers and chocolates from factory agents looking to secure cattle over the coming weeks.
According to the farming organisation, “the outlook for cattle is promising from all the data and facts available to us”.
“The marts are on fire for fatstock and store cattle. The procurement managers and agents are out on the roads scouting for cattle,” a spokesperson for IBLA said.
IBLA said that fatstock sales, which it had previously promoted, are now “reaping rewards for the farmers”.
“So over the next weeks, you [farmers] can expect phone calls, farm visits and maybe flowers and chocolates from meat factories to become a factory sweetheart.
“Sell your cow far away and marry near home was a saying of our fathers. How very true for cattle sales today.
“Sell hard now. Remember 2019, €3/kg was what they wanted to achieve,” the IBLA spokesperson added.
Earlier this week, Agriland reported that factory quotes for finished cattle have increased by up to 75c/kg over the past 14 weeks.
Many processors that were quoting €4.50/kg on the grid for bullocks (steers) at the start of November last year have moved their steer quotes up to €5.25/kg for cattle both this week and last week, marking a 75c/kg rise in 14 weeks.
However, there is no change in this weeks’ factory quotes, making it the first week since the beginning of November (14 weeks ago) that factory quotes have not increased by at least 5c/kg.
Factory procurement bosses have told Agriland that supplies of cattle are “okay” for this week. The four-day kill this week as a result of the new February bank holiday weekend has likely taken some pressure off filling out kill sheets for the week.
Although beef price has increased substantially since last November and the market remains in a very positive position, it is still some way off the breakeven prices required for winter finishing bullocks.