NATIONAL seven-day slaughter hit a six-year high for the week ended Friday (11 April), reaching 152,180 head, but earlier rain and flooding impact was a big factor.

For the statistically-minded among us, last week’s kill reported by NLRS (representing about 85pc of all cattle processed – some operators choose not to contribute to the data) was the largest seen since week ending 17 December 2019, at the end of a year of intense continental-scale drought.

New South Wales (+2038 head) and Queensland (+4207 head) were the big drivers in last week’s big gains in production. But in both cases, volume was driven by catch-up following the two previous weeks when shifts were lost due to rain and cattle access problems. Indeed, a number of plants last week scheduled a few more in existing rosters, or even an additional Saturday or Friday shift to try to catch up with the backlog.

That suggests last week’s slaughter number may be somewhat artificial, and will inevitably decline sharply heading towards May – especially in light of the series of three or four upcoming short working weeks created by Easter, ANZAC Day and Labour Day holidays (Queensland only).

That indicates that full national kills will now not be seen now until week commencing 12 May. Additional shifts may be on the cards after that, if supply pressure continues.

“We’ll try to do some extras where we can,” one Queensland processor contact told Beef Central this morning.

On top of additional shifts scheduled last week at sites like Teys Beenleigh and JBS Dinmore (+800 head), there’s been a gradual, but steady increase in processing plant staff numbers at some sites, which is helping edge some kills higher this year.

JBS Dinmore, for example, anticipates being back at full 1700 head per shift capacity soon after Easter. That level of shift production has not been seen since early 2020. It means that Dinmore will start to process 3400/day, four days a week (two ten-hour shifts per day) or 13,600 per week.

Desperate measures

So serious was the cattle shortage for some Queensland processors during the two wet weeks in late March/early April that they resorted to pulling cattle out of feedlots early. Essentially, some cattle destined for +100 day programs were closed-out and despatched after only 70-or so days on feed. Beef Central has never heard of that strategy being employed previously, but it reflects just how tight supply was, and how determined processors were to keep their chains moving, given current margins.

Grids rise 10c in southern Qld

Direct consignment slaughter cattle grids in southern Queensland have generally shown a 10c/kg rise over the past fortnight, since the big rain event. Some of that may have been rain-related, but its fair to say that export meat markets are still waiting for a clear, new direction in the wake of Trump’s tariff news on 3 April.

What has become evident in parts of Queensland, as country starts to dry out, is that there is a big surge coming in slaughter cattle turnoff. Works in Central Queensland are now heavily booked, deep into May in some cases. Some are offering slots only, with prices to be negotiated closer to delivery date.

Southern Queensland is not under as much pressure, with some sites reasonably current, while others are holding ‘pretty healthy’ bookings out to mid-May. More CQ cattle are moving south, as a result. Some holes left over from earlier rain for kills as close as Thursday this week are still being filled.

The post-Easter period is traditionally a high-turnoff period in Queensland, and this year is looking no different. Whether that now has a negative impact on price remains to be seen.

Best quotes we have seen this morning for kills in southern parts of Queensland in coming weeks have cows on 600c/kg (580-590c a fortnight ago) and good four-tooth grass bullocks with implant at 660c (some sites offering 670c on no HGP), also up 10c.

Central Queensland sheds are typically 20c/kg behind those rates, due to heavier supply pressure.

In southern states, less impacted by rain, we’ve seen over-the-hooks grids this morning of 620c/kg for cows in southern NSW, back 10c, and 700c/kg on four-tooth ox. Eastern regions of South Australia have 650c/kg available on good cows and 710c/kg on grass ox.

On that basis, expect to see the return of southern states processors chasing cheaper Queensland cattle after the series of holiday-shortened processing weeks are over, mid-May. That may add to competitive tension for cattle in Queensland heading into cooler months.

Grazing country in Queensland and NSW that received beneficial rain over the past month is now responding well, and provided overnight temperatures do not drop early, there should be significant pasture and herbage growth over the next month or two.

That could produce another wave of well-finished slaughter stock around mid-year. Mild weather conditions at the moment are ‘just ideal’ for weightgain in cattle, one processor contact said this morning.

Saleyards numbers grow, but few killable cattle among them

Most saleyards’ numbers swelled this week, as more country became accessible after earlier rain.

Wagga produced an all-time record yarding of 7810 head yesterday, up 9pc on the previous already busy week. The milestone was driven largely by the absence of rain on the horizon and the upcoming Easter and Anzac holidays. A considerable portion of the cattle on offer weighed less than 500kg, with cow numbers surging to 1995. In the export market, processors have demonstrated significantly stronger demand, outbidding feedlots for the better-finished types. Heavy steers sold from 310-423c/kg, while heavy heifers topped at 404c/kg. The availability of bullocks has been limited, with prices ranging from 314-365c/kg. The cow market has presented a mixed bag, with initial sales showing subdued bidding. However, as more processors entered the fray, heavy cows saw a price drop of up to 39c/kg, selling from 272-317c/kg. The middle run of leaner types has traded from 220-276c/kg.

Gunnedah sale this morning yarded just short of 2000 head, up 11pc on last week. Price trends were mixed, with cows continuing cheaper trends. Grown steers to process sold from 355-360c/kg, medium cows slipped 27c/kg the heavy drafts lost 25-33c/kg selling from 235-310c/kg.

Wodonga sale this morning saw numbers almost halved leading into Easter. Export cattle were limited with most selling to domestic buyers. In the export market  competition lifted over all categories. Heavy steers averaged 381c/kg, with bullocks from 346-390c/kg. A mixed offering of cows met a bigger field of buyers. P rices softened over all classes. Heavy cows traded from 305-336c/kg, slipping 15c. D3 cows less than 520kg made from 256-284c.

An interim report from Roma store sale this morning (full report tomorrow) reported 5618 head – up sharply on last week’s rain affected offering. All the regular processors, lotfeeders and backgrounders were present. The market could not maintain the levels of the previous sale.   Yearling steers 200-280kg sold from 332-476c/kg. Yearling steers 280-330kg saw the majority sell from 332-448c/kg for the better pens. Yearling steers 330-400kg went against the trend, selling 10c/kg dearer to make 426c/kg. Steers 400-480kg were dearer also and made from 385-410c. At the time of the interim report bullocks sold to 358c and bulls +600kg to 326c/kg.