Cow prices rise, with a mixed movements for prime prices

By Rebecca Wright

Economic uncertainty will continue to influence the finished cattle market. This week the government made several announcements, bringing some clarity to working arrangements. They also confirmed the continuation of the coronavirus job retention scheme (furlough scheme) until September, although there may be some tweaks. However, uncertainty certainly remains for many. Although the furlough scheme does provide income for employees, it is at a reduced rate from their usual salaries. Many consumers will also continue to have concerns over future job security.

Industry reports suggest the on-going uncertainty last week about what changes might be made to lockdown will have impacted on trade. This week, more fast food chain outlets have begun to open their doors which will increase demand for manufacturing beef. Even with the addition of the extra outlets, demand is still likely to be below pre-COVID-19 levels.

During the week ending 9 May, the GB deadweight all prime average increased 0.4p, to £3.24/kg. Overall steer prices were steady at £3.24/kg, although there were differences between the regions. The Scottish overall steer price recorded a 3p drop, with numbers in the region rising. Meanwhile in the Southern region prices recorded a marginal rise of 0.7p, with throughputs falling. GB heifer and young bull prices rose overall. Estimated kill for prime cattle was down 1,000 head week-on-week, to 30,300 head. The bank holiday in the most recent week will have impacted kill levels.

Cull cow prices once again recorded some strong growth. The GB overall cow price increased almost 6p, to £2.22/kg. Estimated cow kill was down 900 head week-on-week, to 8,400 head.

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