HIGH prices for calves in good condition are tipped to hold up in the coming months, with producers attempting to make efficient use of abundant feed and processors contract fulfillments causing quite the bidding tussle.
At the South Australia Livestock Exchange at Dublin last week, about 120 weaners and calves from Partacoona Station, Hawker, averaged $6.69 a kilogram and Elders Roseworthy agent Bruce Cameron said although returns were not as buoyant this week, it was still a 'hot' market.
Calves made between $950 and $1350 at Dublin and Mr Cameron said the interest from buyers was mostly based on younger cattle equating to cheaper per head than older cattle.
"The feed is really growing and cattle producers are trying to get stock to put away on it and have something for early next year to sell.
"It is a bit more work to grow calves out but it is worth it at the other end."
Mr Cameron said most weeks, calf pens attract anywhere up to 25 people looking on and trying to make a bid.
"The million-dollar question is how long the prices will last for, so it is difficult to predict.
"I think prices will remain high for the remainder of the year."
Maree calves weighing about 280 kilograms made $900 last week at Dublin and Mr Cameron said considering 18 months ago, returns were about $500.
Jabuk livestock producers Brenton and Nerissa Forster tried their luck at buying calves at the South Australian Livestock Exchange on Tuesday but prices were as high as ever, making it difficult to secure numbers.
The Forsters run Angus, Murray Grey and Brahman breeders and Mrs Forster said abundant feed meant they had increased stocking capacity and could buy in calves.
"We just head along to calf markets to see what we can get our hands on.
"But we are competing with many buyers and not a lot of stock in the yards."
After destocking heavily throughout the recent drought, the Forsters will retain heifers but continue to buy in calves and make use of excess feed.
"We are understocked dramatically and slashing feed is just a waste of diesel," Mrs Forster said.
"It is easier to buy in calves and work them into the current mob."
Graziers with grass and croppers who are about to cut hay, will most contribute to high prices in the coming weeks and Nutrien Ag Solutions Kadina agent Andrew Parsons said it probably won't slow down for a while.
"Producers will feedlot cattle themselves or turn stock around and sell on to someone looking for feeder cattle."
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Vanessa Binks
I am the Markets Editor and journalist at the Stock Journal. I am based at Nuriootpa in SA's lower north.
I am the Markets Editor and journalist at the Stock Journal. I am based at Nuriootpa in SA's lower north.
