Key points:
- National yardings reached their highest level since February 2021 this week.
- Queensland heavy steer weights are operating 7% or 34kg/head above the five-year average.
- Wet conditions and transport capacity will continue to determine buyer demand and price performance moving forwards.
National cattle yardings rose sharply this week across most states and reached their highest level in 2022 with 56,737 head yarded. This is 57% or 20,600 head above the yearly average and the highest since yarding since February 2021.
Three key factors drove the improved supply:
- A wet week last week affecting mustering ability and transport access
- Increasing numbers of stock reaching finished weights from 2021 and 2020 calf drops
- Forecasted wet weather to return next week, driving producers to seize a selling opportunity.
Strong performances this week included:
- At a saleyard level, Dalby on the Darling Downs recorded its highest yarding since late February 2021.
- Intense demand for processor bought heavy steers drove prices higher by 2% or $48 to average $2,734/head across the country despite a 97% increase in supply this week.
- The 2,000 grown steers yarded in Queensland this week averaged their heaviest on the scales at 529kg since the second week of January and lifted 23kg/head or 5% week on week
Rebuild picture for key state of NSW
Although next week’s wet weather forecast may again dampen supply, the sharp improvement in supply in NSW is encouraging for the herd rebuild’s maturity. The second largest cattle state in the country has been afforded excellent conditions for three years and the improvement in supply in early November indicates these calves from large joinings are beginning to hit the market in larger numbers.
Optimal marking rates and the intense retention of females, particularly in 2021 and 2022, bodes well for the trend of improved supply to continue, particularly with warmer weather supporting improved cattle performance if rain and sodden soils don’t interfere.
With very high clearance rates at bull sales in the spring selling season and large volumes of females retained, the longer-term picture of buoyant supply into 2024 for NSW remains.
Spring lifts WA supply
Recent weeks have brought strong increases in cattle supply for WA, with this week’s yarding the third highest since early May this year. Large numbers of bulls and vealer steers were presented to market this week and these have been key drivers of the improved supply.
Encouragingly for the state’s rebuilding situation, female yardings for heifers and cows have been declining significantly since late October as the state looks to join females for the spring. Comparing the yearly high yarding in mid-July for vealer heifers to this week’s volume, yardings have declined 44%, indicating that WA producers are intent on retaining females to rebuild numbers.
Looking ahead
With yardings in NSW 59% or 7,100 head higher than the 2022 average and numbers lifting strongly in recent weeks, the first signs of the expected supply uptick are beginning to hit the market.
Wet conditions and transport capacity in respective selling areas will continue to dictate the ability of stock to be delivered to market and in turn buyer demand and price performance right across the country. An important consideration for producers moving into the Christmas shutdown period and dealing with ready to market stock at the right weights.
