The Australian cattle market sustained its historically high level throughout February, with average prices for most categories considerably higher than the same period in 2020. While a few stock categories did ease slightly in value from January, the relatively small decrease in prices needs to be kept in context, especially when compared to the prices and seasonal conditions from the same period last year.
In recent years the online livestock auction system has experienced significant growth, becoming the first-choice marketing channel for many farmers across Australia. However, in line with the recent growth, the most efficient and practical way to market stock online is still being determined.
The spring stud season has always been a busy period at AuctionsPlus with online connectivity featured at many stud sales across Australia. 2020 has seen very different circumstances at play forcing studs to adapt to new rules and restrictions in order to have their on-property sales.
2020 has thrown a few curve balls at people, however what is sure to be a certainty is that producers in South Australia and Victoria will have weaners to sell, and with drought breaking rain New South Wales producers will be looking to buy. Leading up to the peak southern weaner selling season the AuctionsPlus Market Insights (AMI) have reviewed market and sale data to offer insights for buyers and sellers. The AMI team has reviewed data of steers and unjoined heifers from South Australia and Victoria, 12 months and under, offered during the traditional selling season of November through to February.
As discussed in several recent articles, a severe deficit of breeding ewes across Australia was always going to put extreme pressure on the store sheep market once there was widespread rain. This is exactly what happened in the first months of 2020, and when key regions had drought breaking rainfall, a scramble to restock paddocks against a 116-year flock low began. A question on the factors impacting current buyer behaviour, and thus what key elements vendors should look to achieve when selling; has prompted the AuctionsPlus Market Insights team (AMI) to analyse data of scanned in lamb (SIL) ewes.
Cattle - By Zoë Macfarlan Cattle listings were firm for the month of July with 71,583 head listed, only a 706 head decrease from June. Continued rainfall across areas of the eastern seaboard is a contributing factor to the smaller numbers on offer. This rainfall has also sustained restocking demand which saw prices and clearance rates remain strong for several stock categories. A highlight for the month was Queensland dominating the cattle listings with a total of 28,840 head on the box, a whopping 40% of the national offering.
Traditionally, a farmer has been happy for their calving rate to fall in favour of steers, due to the widely accepted rule that steers are worth more than their sisters. The price differentiation between steers and unjoined heifers is a useful indication of the current state of the market. The price difference, or price gap, as measured between June 2015 and June 2020 on AuctionsPlus listings has on average sat at 10%. However, at times the price gap has exceeded or preceded this average as certain market conditions promote considerable price swings.
The pastoral regions of Australia are vastly different to the rest of Australia in terms of environment. As such, North Queensland, the Northern Territory, and the north of Western Australia tend to operate in their own markets. The often hot, extreme and challenging climatic conditions are ideal for hardy Bos Indicus breeds, marketed for the most part into feedlots and live export. However, consistently in response to recent rain in many regions of Eastern Australia has been encouraging and the demand to re-stock immense. Which in turn see’s the online marketplace providing an alternative market, with great success.
The sheep and wool industry was for many decades, the backbone of the Australian economy; breathing life and prosperity into rural communities. Throughout the 1970’s and 1980’s, Australia’s sheep population was well over 100 million head and rural grazing areas bustled with jackaroos, contractors, scanners, shearing teams and governesses. This all changed dramatically when it came crashing down in the 90’s, a result of the wool reserve price scheme collapsing due to a massive oversupply in the market, forcing the industry to crumble around it.
A previous AuctionsPlus Market Insight article “Southern Rain Spurs on Southern Buyers” outlined the buying power of Victorian’s online. Further to the previously published findings, we take an indepth look at what has been purchased in 2019.