June quarter grainfed turnoff increased 3% year-on-year, achieving a total turnoff for 2015/16 of over 2.8 million head.
Cattle on feed for the June 2016 quarter held steady on the previous quarter, recording only a 0.43% (or 3,935 head) decrease, to 910,967 head, according to the results of the ALFA/MLA June quarterly survey.
Decreased numbers on feed were seen in all states apart from Queensland, which increased 3.9%, and Victoria, which experienced an increase of 0.8% from the March quarter. South Australia experienced the largest drop of 32% (8,157 head).
The Eastern Young Cattle Indicator (EYCI) has continued to climb and break existing records, reaching 659.25c/kg cwt by the end of June.
Damon Holmes, Operations Manager, National Livestock Reporting Service at MLA, said feeder prices have been driven higher by increased competition from restockers, following the improvement in seasonal conditions.
“The eastern states domestic paddock feeder steer indicator averaged 311c/kg lwt during the June quarter, up 56c/kg lwt from 2015,” Mr Holmes said.
ALFA President, Tess Herbert said that the high cattle prices continued to be partly offset by the decrease in prices of feed.
“High global grain availability has resulted in lower feed grain prices,” Ms Herbert said. “And lower fodder prices have been triggered by widespread rain.”
June quarter grainfed turnoff increased 3% year-on-year, achieving a total turnoff for 2015/16 of over 2.8 million head.
The 5% increase in grain fed beef exports upshot another beef market record breaker, with an additional 2,974 tonnes swt shipped in the June 2016 quarter than in the corresponding period last year, resulting in the 2015/16 year reaching a record volume.
“Australian grainfed beef exports were 268,504 tonnes swt in 2015/16, which is up 7% year-on- year,” Mr Holmes said. “It’s 5,545 tonnes swt higher than the previous record in 2006/07.”
“Given the low turnoff in the first quarter, relative to the record high number on feed at the end of 2015, it is not surprising there was a lift in grainfed cattle slaughter and a subsequent increase in grainfed exports in the June quarter,” Mr Holmes said. “It appears a greater number of cattle were rolled over into the second quarter.”
