Suckler quota meets buoyant demand

By FW reporters

SUCKLER cow quota prices could increase because of an expansion in the national beef herd, claim quota agents.

Demand for quota remains buoyant, with GB lowland samples selling and leasing for about £140 and £45 respectively.

Expansion of the national herd is behind the strong demand, said agent Duncan Clark, who claimed that farmers are delaying culling stock in the face of the low cull values.

“We are unlikely to see leasing values back at £25 for the foreseeable future,” Mr Clark said. “They are more likely to go up than down from here.”

Nick Gorst, of Russell Baldwin and Bright, also said that quota prices could increase.

“If the supply doesnt pick up, it could rise by £20 or £30,” he says.

Much of the interest in quota appears to be coming from farmers who are packing up dairying and looking for another enterprise. Starting a suckler enterprise is a “natural progression” for some smaller milk producers, said Mark Rogers of agents Hamiltons.