Weekly cattle and sheep market wrap
26 July 2024
Key points:
- The Feeder Steer Indicator outpaced the Heavy Steer Indicator, rising to 354¢ due to increased yardings and growing interest in feeder-style cattle.
- The sheep and lamb market experienced a 10% price correction, with significant declines in all indicators.
- Cattle slaughter rates rose to the fourth largest weekly figure in 2024 at 141,302 head.
The latest market trends reveal significant shifts in the cattle and sheep sectors, reflecting both positive gains and notable corrections.
Cattle market
The cattle market has been generally positive with the Feeder Steer Indicator tracking above the Heavy Steer Indicator. Yardings have lifted by 4,745 to 65,947 head.
The Feeder Steer Indicator rose by 11¢ to 354¢/kg liveweight (lwt), 13¢ above the Heavy Steer Indicator. Supply has remained stable with yardings lifting by 1,414 head. At Dalby, export buyer attendance drove the market, absorbing a larger supply of young cattle and increasing interest in feeder-style cattle.
The Processor Cow Indicator lifted by 1¢ to 279¢/kg lwt, showing a decent price recovery since 2023. Prices eased primarily in Queensland, particularly at Roma, where cow prices did not maintain last week’s levels.
Market reports indicate growing demand from the US for heavyweight cows.
Sheep market
After a week of record prices in the sheep and lamb market, a market correction has occurred, easing prices by 10%. Lamb yardings increased by 10,754 to 96,426 head, while sheep yardings decreased by 5,589 to 219,276 head.
The Heavy Lamb Indicator eased by 85¢ to 797¢/kg carcase weight (cwt), with the largest decline in NSW, dopping by 90¢. The record prices enticed sellers but discouraged export buyers, and fewer extra heavy lambs and plainer condition lambs have also contributed to the price easing.
The Light Lamb Indicator eased by 67¢ to 630¢/kg cwt, yardings easing by 373 to 78,425 head. NSW experienced the largest dip in prices compared to other states, contributing to 56% of the yardings. At Dubbo, light lambs were better supplied, although quality was mixed.
Slaughter
Week ending 19 July 2024
Cattle slaughter lifted by 2,515 to 141,302 head, marking it as the fourth largest weekly slaughter in 2024. This increase was supported by an additional 1,606 head in NSW and 863 head in Tasmania. Slaughter continues to track 17% above year-to-date figures and is 16% above the rolling average.
Combined sheep and lamb slaughter eased by 38,094 to 528,142 head, contributing to a reduction in slaughter as multiple processors shut down for maintenance. Lamb slaughter eased by 22,583 to 428,399 head, with fewer numbers processed from all states, particularly in SA and WA. During lambing season, sheep slaughter is expected to ease, with an uptick in slaughter when lambs begin to drop.
