Weight means dollars per head not cents per kilogram

Big September rains right along eastern seaboard states and south-eastern South Australia plus one of the wettest winters in decades has resulted in smaller than usual prime cattle sales through winter ending with sales at Armidale and Roma, Queensland last week being cancelled due to lack of numbers, mainly as stock could not get off properties.

However for the Gunnedah based Davidson Cameron and Company agent the promising season is “fantastic”.

“How often do the stars line up like this and we get as good a season as we now have,” Mr Scicluna said.

He believes this means there will be extra numbers of good cattle meeting the market in the November – December period.

“What that will do to the market pricewise is anyone’s guess, but producers should take advantage of the season and feed, and get as much weight onto their cattle.

“I know processors and feedlotters would like to see a correction, but people will have feed and they will be able to keep cattle back and get them heavier.”

Prolonged feeding may put fat onto heifers, but with cattle types these days the steer portion will “whack the weight on” and producers may not have to worry about fat cover.

However, with the extra time on feed cattle may move out of feedlot weights.

Mr Scicluna said a lot of feedlots were now dropping their top weight from 520 kilograms to 500kg.

“Some have even come back to 450kg top-weight because their cost of grain is a lot cheaper and they want to put the weight on the cattle themselves,” he said.

“The farmer wants to do the same with his abundance of feed.

“It’s a real Catch22.”

Even if there is a price correction of possibly 20 cents to 30 cents a kilogram as numbers at prime sales increase, Mr Scicluna said the heavier cattle will always get the more dollars.

“At this stage dollars per head and not cents per kilo is the name of the game.”

Cattle have been back in numbers at Dubbo Regional Saleyards during winter with Elders livestock manager, Martin Simmons saying some prime sales have been struggling to attract 2500 head due to the wet.

“We would normally be yarding 6000 to 10,000 head a week, but I’m guessing these numbers will return once it dries off,” Mr Simmons said.

“Once it does fine up we are going to see a lot of finished cattle in the prime sales and this may see the market come back a little bit.

“However, fat stock have been reaching the same highs as feeder and restocker animals and I certainly think that trend will continue.”

Mr Simmons said there would be a lot of restocking interest through to the new year.

The cancelled Armidale sale last week was the first in the 33 year history in John Teitzel’s career.

The Landmark agent said there had never been a sale cancelled because of wet conditions.

“We’re back on track this week,” Mr Teitzel said.

He doesn’t think the wet will see a big influx of stock as the ground dries off a little.

“It will be another three to four weeks before we see any significant rise in our numbers.

“Restocker enquiry is so strong a numbers increase would not see much correction.”

WET weather prevented Niangala producer Ben Clark, “Callaghan’s Swamp”, selling 190 cows and calves at the last Tamworth store sale on September 16, with 70 millimetres of rain making it too difficult to load.

Mr Clark has been on the road with his cattle since June 24, and is now between Caroona and Breeza.

“We had such a dry autumn that I knew if I didn’t do something I’d have to feed, so I thought I’d take them on the road,” he said.

“It’s greening up at home, even though there’s still not much feed, but this rain has set us up for a good spring.” 

Mr Clark was one of a few producers who weren’t able to load cattle for the last fortnightly sale at Tamworth, but the breeders are booked for tomorrow’s store sale.

“Hopefully, with all this rain, the prices will be up,” Mr Clark said.