There are “encouraging” indicators for the beef trade despite a “a very unusual and difficult year”, according to Dawn Meats group development manager, Paul Nolan.
Speaking to Agriland at the Dawn Meats stand at Ploughing 2023, Nolan gave his opinion on the current state of beef markets.
He said: “The retail side of things seem to be strengthening a little, albeit from a very weak start, but it’s certainly strengthening which is very encouraging.”
Nolan explained that beef sales did not follow even the most typical trends both in Ireland and across Europe this summer and suggested weather conditions were one of the key factors for this.
“What happened this year I think is that the weather played a huge part. During the summer, the barbecue season didn’t happen in Europe because it was too hot and it didn’t happen in Ireland and the UK because it was too wet. And so we missed that opportunity.
“The strange thing is now that although kids are back to school and this is obviously a real pull on people’s incomes in general, the retail side of things seems to be strengthening a little albeit from a very weak start, but it’s certainly strengthening which is very encouraging,” he added.
According to Nolan during the summer there is the combination of both burgers also ribeye steaks and strip lines “going on the barbecue” but he said none of that happened this year.
However he is optimistic that the “fundamentals at the moment are promising”.
“We certainly would be very worried if we were still seeing sluggish sales rates as – there were at only six weeks ago. So that has improved and let’s see now can it put a bit of confidence in the market and drive it on a little,” Nolan said.
Factory quotes
Separately this week’s factory quotes see finished cattle prices continue to rise at some sites and holding firm at others, despite talk from some procurement staff of the trade turning.
Although Irish beef prices are on the rise, a look at the Bord Bia Beef Market Tracker shows that the Irish composite (beef) price remains well below the export benchmark price, indicating scope for further price increases.
The supply of finished cattle has fallen for the past three consecutive weeks. The total beef kill this year to date is 45,750 head below last year.