Weekly cattle and sheep market wrap

Indicators

The Eastern Young Cattle Indicator (EYCI) softened at the end of last week and beginning of this week to sit at 1,112.30c/kg cwt.

Roma reached the highest sales volume this week, with 6,173 cattle sold. This is the largest volume of sales at the yard for 2022, with the majority of the sales being yearling steers and yearling heifers.

Strong feeder prices have encouraged producers to enter the feedlot sector for finishing instead of finishing on grass. Medium cow prices have also fallen 9% week-on-week, with 78% going to processors. This follows the medium cow reaching record highs last weeks.

The Western Young Cattle Indicator (WYCI) is the highest it has been since December last year, sitting at 1,152.85 c/kg cwt.

Sheep

Light lamb prices have softened 6.3% week-on-week. WA lambs in Muchea are now making up the majority of light lamb yardings.

Trade lamb prices are still declining, though they are stabilising – falling by only 1% this week.

Slaughter 

Goat slaughter volumes has hit a new record every week since the beginning of the year. This supply increase is being reflected in the goat export markets with higher product flow, as domestic demand remains soft. This week, however, goat slaughter has softened to 33,553 head – a 9% decline week-on-week.

Lamb and cattle slaughter rates are also down, with lamb slaughter down 3% week-on-week by 11,000 head. This reflects how processors in Victoria and SA having public holidays.

Meanwhile, beef exports are down 12%, particularly in larger markets such as Japan with lower consumer confidence. Mutton exports are up 4% but slaughter has declined year-on-year.

Weather

The BOM outlook forecasts a neutral IOD for the remainder of autumn, but it has extended on longer than previously predicted due to stronger than average trade winds. Read more on the current weather outlook here.