HIGH demand for weaner cattle kept rates up in the South East and Vic's Western Districts in the past week, with heifers cracking what is believed to be a southern Australian record of $2.94 a kilogram liveweight at the Hamilton, Vic, market.
Doug Robertson, Nangana, Vic, sold the 25 Angus heifers, weighing 320kg, to Alan McDonald, Katelea Pastoral, Glen Alvie, Vic, for $940.
Meat & Livestock Australia manager of market information and the National Livestock Reporting Service Ben Thomas said the Eastern Young Cattle Indicator hit a record $4.47/kg carcaseweight on Tuesday.
"The last time the EYCI exceeded $4/kgcw was in December 2011, when the record reached $4.28/kgcw," he said.
"Feedlots are assisting prices, along with the growing demand from restockers, particularly with the increasing expectation of tightening cattle supplies.
"Some volatility is expected in the market in coming weeks, particularly after such a sudden increase in prices.
"As we look further ahead as to what will be driving the price, it will depend on the timeliness of follow-up rainfall and just how much supplies contract." SA State Angus Committee chairman Guy Cunningham said the price was phenomenal.
"It's great to see producers getting returns like this, but it's been a long-time coming," he said.
"All the signs are pointing to an upturn, and now it looks like everything's lining up."
Mr Cunningham said it pointed to a positive start for the upcoming bull selling season in SA.
Naracoorte Combined Agents Association chairman Jason Mahney said good returns from the feeder steer job were helping drive saleyard prices.
"With certain areas in Vic and NSW receiving a lot of rain, it's helped push up prices," he said.
Hamilton Stock Agents Association president Terry McMeel said prices at the saleyard had increased since the first sale of the year on January 5.
"The results of the first sale exceeded expectations and prices have continued to increase from there," he said.
"The good prices are simply due to a lack of supply and increase in demand.
"The feedlotters have had a fair old bearing on it, it's fair to say.
"They've put pressure on southern restockers. If restockers have wanted to play the game they've had to come in with good money to get cattle."
Paula Thompson
Stock Journal's markets editor.
Stock Journal's markets editor.
