Cattle market resilient amid JBS shutdown

 

By Adrian Ladaniwskyj, Mecardo (AU)

June 4, 2021

 

Despite the absence of slaughter activity from JBS in Australia all week resulting from shutdowns caused by cyberattacks on their IT systems, the cattle market held up reasonably well, with prices showing resilience against the disruption. The Eastern Young Cattle Indicator (EYCI) barely budging wasn’t much of a surprise though, as processors represent less than 10% of buyers for those cattle, with feeders and restockers the main players in the young cattle market.

 

Yardings remained steady last week, ticking up less than 1%, with NSW yardings slipping 4% while rises in QLD, VIC and SA provided more than an offsetting influence. A total of 45,130 head were yarded on the east coast for the week ending 28th May 2021, up just under 200 head from the week prior.

 

Online, at AuctionsPlus, 18,982 head were yarded, up 9% on the prior week, with clearance rates of 100% for steers and heifers under 200kg, compared to the overall clearance rate of 65%, reflecting high demand for lines of light cattle.

 

Slaughter numbers for last week were not released due to MLA not being able to collect a full representative sample for the week.

 

Given JBS plants remained open and operating all of last week, it can be assumed though that when and if the information becomes available,  the slaughter figure will most likely hovered around the around the 110,000 head mark or higher, given that the week prior cattle prices held up well.  JBS plants are expected to resume their kill operations in most plants on Monday or Tuesday next week.

 

Data release delays on the EYCI have occurred this week, but as of Wednesday the 2nd June, the EYCI last count stood at 889ȼ/kg cwt, only down a smidgen from the week prior...

 

more, including table, chart, maps

https://mecardo.com.au/cattle-market-resilient-amid-jbs-shutdown/