Farming: Cattle prices strengthen as supplies remain tight 

Cattle prices have strengthened this week, offering some positive news for beef farmers across Waterford as supplies to processing plants remain tight.

The latest figures from the Irish Farmers' Association (IFA), published on Wednesday, September 23, show prices have increased by around 10c/kg, while factories are paying between 10c/kg and 20c/kg above quoted prices in some cases.

At ABP Waterford, base quotes stood at 660c/kg for steers and 670c/kg for heifers, while cow prices ranged from 600c/kg to 650c/kg.

Farmers supplying Dawn Meats at Grannagh are seeing similar prices, with the plant also quoting 660c/kg for steers and 670c/kg for heifers. Cow prices at Grannagh range from 600c/kg to 650c/kg.

The latest increase comes as tight cattle supplies continue to strengthen the position of farmers selling finished animals.

According to the IFA, factories are currently paying above base quotes to secure cattle, with farmers encouraged to negotiate strongly when selling animals.

Across the country, steer base prices are currently running at between €6.50/kg and €6.70/kg, while heifers are making between €6.60/kg and €6.80/kg.

Young bulls grading R or U are also making between €6.50/kg and €6.80/kg, according to the latest IFA figures.

Higher deals are available for larger and specialised lots, while the association reports flat prices of up to €7.20/kg in some cases.

Cow prices nationally are ranging from €6/kg to €6.60/kg, depending on the factory and type of animal presented.

The latest figures represent an increase of approximately 10c/kg on cattle prices, with the IFA reporting that tight supplies are contributing to the stronger trade.

Bonuses can also add to the final price received by farmers.

An in-spec bonus of 20c/kg applies to qualifying cattle under 30 months, while an 8c/kg bonus is available for animals aged between 30 and 36 months.

There is also a 12c/kg bonus for under-30-month steers and heifers grading O- and for animals with a fat class of 4+ where they meet the remaining in-spec requirements.

The prices being offered in Waterford are towards the upper end of the range of base quotes currently being reported across the country.

While ABP Waterford and Dawn Grannagh were both quoting 660c/kg for steers and 670c/kg for heifers on September 23, some other plants were quoting 650c/kg for steers and 660c/kg for heifers.

However, the IFA figures also indicate that farmers may be able to secure prices above the published factory quotes as processors compete for available cattle.

The association has also advised farmers to insist on payment on the day for their cattle.

The stronger prices will be closely watched by beef farmers in Waterford as they assess the market and decide when to move finished cattle over the coming weeks.

The improvement comes at a time when farmers have faced a challenging year on a number of fronts, making movements in factory prices particularly important to farm businesses.

With two major processing facilities operating locally at ABP Waterford and Dawn Grannagh, changes in factory prices are of particular relevance to farmers throughout Waterford and the surrounding area.

For now, tight supplies appear to be providing farmers with greater negotiating power, with the IFA's latest figures showing processors paying above quoted prices in an effort to secure cattle.

The association is encouraging farmers to continue negotiating strongly and ensure they receive the full value of their animals when dealing with factories.