OLMC STORE CATTLE REPORT January 2019 Peter Jones The store trade in the Autumn, as you would expect, has been subdued mainly due to the lack of forage after the long hot summer. As we go into the Spring all the indications are that the demand and returns for organic cattle will improve. At the time of writing this we have virtually sold out of organic store cattle with more supplies required particularly of the bigger more forward cattle. The demand for the smaller cattle will increase in the next weeks and months as turnout time approaches. The price levels in the next six months will be largely affected by the weather and grass availability but also the finished price. The balance between supply and demand of finished cattle has been weighted against the producers for some time now but it will inevitably fall in favour of the finisher at some stage. The timing is the unpredictable factor. I am often asked if the Brexit negotiations and uncertainty is having an impact on cattle prices and my feeling is that it is not. Whilst it is true that markets do not like uncertainty I believe it has had little effect on beef cattle so far. With the UK being net importers of beef I can only see cattle prices going on an upward trend in the next 12 months. There is also no doubt that subsidy payments going forward will be weighted in favour of the environment which will have obvious advantages for organic farmers over the coming years Please continue to book your cattle in with us, the more notice we get the better. New suppliers are always of interest to us and we are always available for a no obligation chat at any time Please call Peter Jones mobile: 07720 892 922 or the office: 01829 730 580 Or David Bostock mobile: 07734 808 050 or the office: 01829 730 580
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