Week Ending 12/107/19
Dubbo Agents drew for a touch under 5000 head for their cattle sale on July 11, 2019.
These numbers are down slightly on previous sales.
The cattle market has been so completely overshadowed by the sheep and lamb market in recent months that we tend to think of it as a 'basket case, this in reality is not the whole story.
Certainly, we would like to see young plain weight cattle achieving higher results because with the drought we have plenty of those styles in our yarding.
Having said that, cattle with some weight are currently trading upwards.
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Best cows in the major centres are selling from 250c/kg to 280c/kg or even on odd occasions better that that.
Well bred feeder steers have beaten 330c/kg on occasions and the demand for heifers has also risen in a somewhat similar trajectory as that taken by the steer portion.
Best bulls are better and all classes of prime young cattle suitable for the domestic market are now showing better results as demand improves.
Even young plain cattle in recent days have experienced stronger demand with some centres reporting gains of 30c to 40c/kg liveweight.
The strength of the physical market which is still the benchmark has forced some processors to increase their grid price.
One of the tremendous growth profiles within our industry has been the rise of Delta Ag in a relatively short space of time.
The company recently purchased West Ag Services from the Cameron Family and this now fronts with a vast range of services and products including, rural merchandise, chemical for all aspects of cropping, fertiliser, grain, livestock and real estate marketing.
The company also has a strong insurance and finance arm.
The suggestion is that the company would like to expand further and one mainstream journalist thought that parts of Rural Co may have some appeal if that option was to ever become available.
Properties in the central west of NSW appear to continue to be selling very well particularly in my little corner of the planet.
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Four maybe five properties have changed hands with another pending in a very short time frame and all at what I would consider very reasonable money.
So much for one of our very worst droughts.
In a statement which would be music to the ears of northern cattle producers, New Zealand Agriculture Minister Mr Damien O'Connor is suggesting a conditional ban on the export of live cattle from that country as it may damage their brand. More on this in the next issue.