“Propping it up”: Local buyers underpin the West Vic cattle market

Strong cattle yardings across western Victoria are being sustained largely by local buyers, as drought in northern Australia and recent bushfires further afield in Victoria dampen broader demand.

Interstate demand low: Hamilton and District Livestock Association president Sam Savin said: “It's the locals propping it up. We don’t have northern support because they’re probably where we were last year. You’ve got your fires and everything in northeastern Victoria that usually handles a fair few cattle as well.”

Numbers up: Despite the reduced outside demand, prices remain well ahead of last year’s drought-affected levels, particularly for restocker and feeder cattle.

At the Hamilton Regional Livestock Exchange, Savin said January weaner sales exceeded expectations, while a February store sale yarding 1,100 head was “very strong” and “highly competitive”.

• Feeder steers were making roughly $4.60–$4.80 a kilogram, feeder heifers $4.20–$5.00, and restocker steers around $5, with some categories about $1 a kilogram higher than a year earlier.

Plenty of stock: Conditions are similar at the Western Victoria Livestock Exchange in Mortlake, where operations manager Jake Last said January throughput topped 18,000 head of cattle following favourable spring rain.

“This month’s shaping up fairly strongly too,” Last said, with weekly prime yardings of 2,400 to 3,000 and more than 6,000 drawn for a recent store sale.

• Last also noted a shift in buyers - where interstate purchasers once made up 75-80 percent of their sales, recent conditions have seen that reduce to 10 -15 percent.

The numbers: Feature female sales averaged $700-$900 a head higher than the same time last year, while heavy beef cows are holding near $4 a kilogram, well-finished bullocks about $4.60-$4.70, and milk-fed veal slightly above $5.

• Last said improved fodder reserves, hay and silage supplies were allowing producers to hold stock in good condition, helping maintain supply through the saleyards. 

• He said stock numbers could ease later into autumn, which would likely support further price rises.

Not out of the woods: However, Savin warned seasonal conditions still pose risks, particularly lower water supply from a lack of rain in districts north of Hamilton.

“We’ve got blokes already that have got grass in the paddocks and no water, so they’re just shuffling around and making do for now,” Savin said.

Both said a timely autumn break would be key to maintaining confidence, with Savin adding widespread rain could tighten supply and push cattle prices higher in coming months.