Record 2021-22 for Auctionsplus Commercial Cattle Prices

The 2021-22 financial year was one of record prices for commercial cattle on AuctionsPlus. Milder summer conditions paired with ongoing pasture growth, spurred the desire of cattle producers to continue rebuilding herds - which subsequently pushed prices to all-time highs in January 2022. Average prices for all stock categories of commercial cattle increased between 19-44% from FY21 to FY22 – up 32% on average. Young steers increased 28% in average prices, while young heifers increased 32%, as breeding females increased by 33% in FY22 – reinforcing the strong herd rebuilding focus.

Heifers remained at a discount to steers in every weight category, except for under 200kg (figure 1). This is despite restocker demand increasing average heifer prices more than steers on a year-on-year basis. 200-280kg steers averaged $1,745/head in FY22, while heifers averaged $1,588/head in the same weight category. A record 53,512 heavy steers were offered in FY22 and sold to an average $2,462/head – up 31% from $1,886/head in FY21.

PTIC heifers were the single largest throughput category through AuctionsPlus commercial cattle sales in FY22. Average PTIC heifer prices peaked at $3,174/head in third week of January 2022, and averaged $2,796/head for the full year – up 29% from $2,169/head in FY21.

Interestingly, heifers performed better overall than cows in every breeding female category, with higher average prices across the board – achieving an average price premium of 8% (figure 2). Improved genetics and the extra years of reproductive productivity are likely the most significant drivers for the preference towards heifers. The premium between heifers and cows demonstrates the confidence from producers and highlights their long-term outlook, rather than short-term trading.