A MAD scramble has developed among restockers on the back of storm rains, desperate to secure store cattle to grow out over the summer.
At sales across eastern Australia this week agents reported extraordinary levels of competition from both cattle producers and feedlots for virtually all cattle, but particularly for cattle at or close to feedlot entry weights.
The higher prices are dragging more cattle onto the market. At Roma the record values and headlong rush into Christmas saw 7422 head yarded, up 2847 head on the previous week.
Despite the red-hot competition, MLA’s key Eastern Young Cattle Indicator is continuing to resist breaking through the 600c/kg dressed level. The EYCI closed on Tuesday evening on 591.75 points, back 1.75 points on the previous week, but still within record territory.
Ashley Loveday from Elders in Dalby said the strong demand from restockers and feedlots was being driven by the widespread storm rains.
“There have been some very good falls of four to five inches (100-125mm) but plenty of only two to three inch (50-75mm) falls,” Mr Loveday said.
“If there is general, widespread rain that extends in the western areas causing the supply to slow or stop, that is when we will see the market go to a new level.”
Mr Loveday said there was particularly strong competition for better quality cattle weighing more than 300kg.
“There are plenty of buyers from both Queensland and NSW chasing steers and heifers over 300kg. Those cattle are really appealing to both restockers and feedlots.”
A highlight of the Dalby sale was 186 No5 Braford and Droughtmaster/Braford-cross steers in fresh store weighing 273kg from St George had sold for 371c/kg to return $1012.
Some 5800 cattle were yarded in Dalby yesterday, on par with the previous week’s offering
Jim Geaney, Geaney and Co, Charters Towers, said a seasonally large sale of 1864 cattle were offered at the Dalrymple yards yesterday. Sale toppers were 22 170kg Brahman-cross steers in store condition which sold to the Moura district for a new yard record of 321.2c. Agents are now scheduling a final year sale on December 9.
Live exports also continue to drive the market. Export steers are selling for about $3/kg live, mickeys for $2.80 and heifers for $2.70. Wellards were loading some 300 decks at the Dalrymple yards yesterday for a boat scheduled to sail from Townsville for Vietnam.
