Factories are actively seeking in-spec cattle for the lucrative supermarket trade in the UK.
That is according to IFA national livestock chairman, Brendan Golden, who reported that prices have risen by 5c-10c/kg this week.
He said the supermarket trade has performed very well throughout the year for beef and demand is increasing in the lead into Christmas.
“Supplies of in-spec cattle, in particular, are predicted to tighten considerably over the coming weeks. This is very evident in the factories’ attempts to secure cattle to meet market demand,” he said.
Golden said the cattle price in the UK continues to rise and with domestic supplies also projected to tighten, market conditions justify better returns from factories.
The UK price for R4L steers jumped 5c/kg to the VAT inclusive equivalent of €4.57/kg in the past week.
Up to €3.95/kg for plainer cattle
Factories, he said, must start reflecting the true value of our most important market to farmers.
He advised farmers should “dig in and sell hard”.
Deals well above quoted prices or flat deals for plainer Angus and Hereford cattle of up to €3.95/kg at this stage are available, the organisation said.