Weekly cattle & sheep market wrap – 29 February 2024

We’re trialling a new weekly market wrap for cattle and sheep, pulling together the latest key market headlines. We’d welcome any feedback on this report (or your views on our other outputs to assist your business) via redmeat.mi@ahdb.org.uk.

Key points:

Prices for week ending 24 February 2024

• Overall GB deadweight prime cattle prices plateaued in the latest week, as more cattle came forward. Weekly estimated prime cattle slaughter is now above 2023 levels.
• Cow prices continued to climb as numbers fall seasonally. However, throughputs remained higher on the year.
• Deadweight lamb prices rose again, but at a slower pace than previous weeks as kill numbers rose. However, throughputs remain lower year-on-year for the first eight weeks of 2024, due to a smaller carryover.

Cattle

GB deadweight cattle prices plateaued overall in the week ending 24 February, with mixed movement among categories. The overall average steer price held at 497p/kg, while the average R4L steer price dipped by 1.1p to 505p/kg.

Average cow prices appreciated further but remained below year-ago levels. The overall average GB deadweight cow price stood at 347p/kg, up 2p on the week, but 32p behind the same week in 2023.

Across regions, Northern averages appreciated for all prime categories, while price moves were more mixed in the Central and Southern averages. Cows saw price rises in all regions.

AHDB weekly estimated prime cattle slaughter increased again, up by 500 head to 34,700 head. Kill has now been above 2023 levels for two weeks in a row. However, for the year-to-date, prime numbers are steady on the year. Estimated cow slaughter continued its seasonal decline, totalling 10,000 head. However, this was still up 200 head on the same week a year ago.

UK beef production and imports were notably low in December 2023, which reduced beef supply. On the demand side, retail sales were firm through Christmas, and reports suggest that Valentines Day demand was positive for relevant categories such as steaking. However, more recent reports have pointed to slightly softer demand for cuts including roasting joints.

Sheep

GB deadweight sheep prices continued to appreciate in the week ending 24 February. The old season lamb SQQ averaged 699.6p/kg, up nearly 10p from the week before, and up 189p versus the same week a year ago.

Tighter supply, due to a smaller carryover of hoggets is undoubtedly contributing to current prices. AHDB GB estimated sheep slaughter stood at 216,700 head for the week, down 1.8% on the year, but up 10% on the week prior.

Several factors have combined to reduce available supplies of sheep meat on the market. Lower production through December, likely due to poor weather reduced slaughter rates. Import levels were lower than expected through the month, potentially as world conflicts delay shipping.

Meanwhile, exports remained strong, with wholesale prices for UK lambs in Rungis market (Paris) remaining high. Like beef, Christmas retail demand was positive for lamb, but a significant proportion of sales were on promotion.