Beef prices in the UK are continuing to increase and for the week ending Saturday, November 27, the average R3 steer price stood at €4.94/kg – just 6c short of the €5/kg mark.
Meanwhile, for the same week, the average Irish R3 steer price stood at €4.19/kg.
While UK price generally tends to be ahead of Irish beef price, there is now a 75c/kg differential between Irish and UK price, according to Bord Bia’s Cattle Price Dashboard.
Meanwhile, the average EU R3 Young Bull price for the same week stood at €4.37/kg – a total of 18c/kg ahead of average Irish R3 steer price for the week ending Saturday, November 27.
To put the differential between Irish and UK beef price into perspective, a bullock grading an R=3= with a carcass weight of 350kgs would be worth €1,729 in a UK factory as opposed to €1,466.5 in an Irish factory – a significant difference of €262.50 – assuming the animal received no bonuses in either situation.
While the above scenario represents the week ending November 27, it seems heifer and steer prices have increased this week as factories lifted quotes to secure supplies.
While last week’s factory quotes seen further upward movement on beef price, heifer and steer quotes were slower to move than other categories.
However, as the week progressed offers of €4.25/kg became more freely available for steers and 5c/kg extra for heifers.
A base price of €4.25/kg for steers and €4.30/kg on the grid for heifers will be more freely available to farmers selling in-spec cattle to the factory from Monday on.
Despite this, scope continues to remain for further increases in beef price as demand continues to outstrip supply.
Looking at cows and it seems cow price has made a full recovery since coming under pressure over the past few weeks, with the same, if not more, on offer than the early October cow prices.
Starting with U-grade cows and €4.00/kg is on offer for top spec U-grade cows that are well fleshed and score a U+.
Looking at R, O and P-grade cows and €3.85, €3.65 and €3.55/kg respectively is what is on offer for cows scoring an ‘equals’ in their respective grades, but are well fleshed and are not over fat.
Better-type cows in their respective grades will likely be eligible for a higher price per kilogramme than the above quotes, so farmers should ensure this stipulation is agreed before sending cows to the processor.