Australia-Cattle market prices this week.
AUSTRALIA- CATTLE MARKETS.
30/03/2009
The national cattle yarding at MLA’s NLRS reported saleyards increased 10% compared to last fortnight. Numbers increased most significantly in Queensland, NSW and Victoria. Queensland recorded a 35% increase in numbers, with yardings higher across all markets. As the season begins to dry off, combined with the recent dearer trend, yardings have surged. NSW and Victoria throughput increased by 8% and 10%, respectively.
Despite less numbers of grown cattle coming onto the market, the national indicators for export cattle have all slipped from last fortnight. One of the major factors behind the cheaper trend has been the rise in the A$. With numbers of grown cattle increasing to adequate levels over the past few weeks and processors increasingly active, pressure to acquire numbers has subsided, contributing to the cheaper trend.
Prices received for young cattle improved across the board last week with the EYCI reaching its highest level on Tuesday since mid January, of 321.5¢, before settling at 318.25¢ – a 20¢/kg cwt improvement from the mid February (when the EYCI reached its lowest level so far for 2009). The driving force behind the accumulating indicator is the improved season in Queensland, northern and central NSW since the beginning of the year.
Lamb feeders have been active at physical markets as they see potential to capitalise on supply shortages during the upcoming winter. The number of lambs purchased by feeders since January increased 48% compared to the previous year. The current strong prices for finished trade and heavy lambs, combined with lower grain prices, have also encouraged some producers to purchase lambs and supplementary feed them.
Over the hooks (OTH) rates for lambs have increased since the start of the year. Processors are not only grappling for supplies at physical markets, but have also increased OTH rates to secure supplies of lambs as demand intensifies. Due to the anticipated supply shortage through winter, there are reports of processors offering forward contracts for August for heavy lambs at 460¢/kg cwt.
The national mutton indicator finished Friday at 205¢, 6¢ lower than last fortnight and 20¢/kg cwt above the same time last year. Demand for mutton remains high with live exporters, processors and even some restockers looking to secure numbers from a diminishing supply. Mutton yardings also fell 12% compared to last fortnight.
