Saturation fear with CPASend
Saturation fear with CPASend
THE ending of the CPAS could easily saturate a market for rearing calves that has shown recent signs of improvement. "Second and third quality calves are bound to be affected," predicts David Edwards, of Shrewsbury Livestock Auctioneers. "It could damage the price very severely."
The trade for good beef cross calves has remained relatively firm with some signs of improvement in recent weeks. Very few dairy calves are currently going for rearing, and those that do are fetching no better than the scheme price of £49.
At Shrewsbury, best Charolais bull calves have been selling for well above £200 with other continental crosses close behind. Hereford calves have been harder work however, with bulls up to £110, while Aberdeen Angus have been selling at £120.
"Middle range Charolais and Simmental bull calves have been selling here dearer than they were two months ago. The finished beef and store prices have hardened, and this has given buyers a little more optimism," said Mr Edwards.
Stephen Egerton, of Bagshaws, Uttoxeter, believes the market is wary as the end of the CPAS approaches. "People are aware that calves will be cheaper in a month or so," he says. "Buyers are being very cautious and very selective."
He thinks it is inevitable that the end of the slaughter scheme will tempt some finishers to rear a few carefully selected black and whites, but predicts the consequence in lower-value finished animals down the line. *