May's cattle market update

Highlights for cattle

• Australian cattle prices recorded a strong uptick in April, spurred on by intense competition for stock between processing centres who were eager to load up for exports. Export demand for Australian beef continues to be extremely high and the driver of price increases observed over the last month. The National Young Cattle Indicator currently sits at 379c/kg, up 20 per cent from a year ago and 26 per cent month-on-month. However, what could be a limiting factor over the next month is the significantly higher volumes of cattle on the market in northern and southern states. The majority of those processing centres are now reported to be satisfied with their stock levels and are booked out until at least June. This in turn could spill over into prices and lead to a slight downwards shift.
• Australia’s beef export volume surpassed 127,000 tonnes in April, reaching the fourth highest monthly total on record. The record still sits with October 2024 which saw over 130,000 tonnes exported, mostly to the US due to their drought conditions. Once again, the US was the strongest market, taking in over 37,213 tonnes, which is up 15 per cent from last month and 37 per cent from a year ago. In terms of China and South Korea, both of these markets continue to grow at a steady pace. Japan has seen exports dip marginally lower. Meanwhile, Canada is a growing market for Australia, sitting 20 per cent higher year-to-date and 47 per cent higher than last April.

Tom Herbert

Agricultural Analyst

Tom combines his agricultural degree with strong industry knowledge to provide commentary on local and international beef and cattle market trends.