Livestock Prices Start to Ease as Markets Turn Quiet – More Pressure Ahead?
This weekly Livestock Price Overview is proudly brought to you by John Deere.
Livestock prices have started to soften, and the market is noticeably quiet at the moment. The key question many producers are asking is whether further price declines are still ahead. This week, we take a closer look at the trends shaping the market.
Cattle Market: Weaner Prices Under Pressure
The national average weaner calf price for calves between 200 and 250 kg declined by around 2% to R40.90/kg.
- Top 40% commercial average: R42.92/kg
- Weaner heifers: R34.56/kg
- Bulk calves: R39.61/kg
Provincial prices:
- Free State: R42.69/kg
- Mpumalanga: R37.86/kg
- North West: R40.03/kg
Our view is that weaner calf prices may move sideways in the short term, with potential downside risk emerging from February into March. Weather conditions remain an important factor to watch, as below-normal rainfall could result in increased supply later in the season.
Slaughter Cattle: Clear Downward Momentum
The A2/3 slaughter price is under increasing pressure and is currently trading between R64 and R70/kg in most areas, with an average of around R67/kg.
- C-grade price declined to R59.50/kg
Market activity remains very subdued. In several regions, A-grade prices for the coming week have already started declining. In parts of the Northern Cape, prices are reportedly below R60/kg, while other regions are trading between R62 and R64/kg.
As a result, further downside pressure is expected over the next few weeks.
Sheep Market: Store Lambs Holding – For Now
The average store lamb price remained relatively firm last week, trading 1% higher at R51.31/kg.
- Heavier slaughter lambs: R50.99/kg
Provincial prices:
- Free State: R52.96/kg
- Eastern Cape: R50.92/kg
Despite the recent firmness, our expectation is that lamb prices could start to soften, as slaughter prices come under pressure, mainly due to weaker demand.
Slaughter prices have already started to decline:
- A2/3 sheep slaughter price: R108.33/kg
- C2/3 price: R79.25/kg
With demand remaining subdued in January, further declines are likely.
Wool Market: Strong Start to the Year
The wool market began the year on a positive note.
- 20-micron RWS wool: R222/kg
- 20-micron non-RWS wool: R205/kg
- Average RWS price: R219.17/kg
There has not yet been a wool auction in Australia, and we will report further once trading resumes there.
Goat Market: Prices Firm Across Categories
The goat market has also started the year on the front foot:
- Large goats: R47.38/kg
- Small goats: R65.70/kg
- Medium goats: R58.20/kg
- Breeding ewes: R55.16/kg
Poultry and Pork: Seasonal Pressure Continues
Chicken prices remain under pressure:
- Frozen ex-abattoir price: R35.96/kg
- Fresh chicken: R40.87/kg
- IQF chicken: R35.32/kg
Pork prices showed mixed results:
- Baconer price: down 2% to R40.67/kg
- Meat pig price: up 2% to R41.63/kg
- Sausage pig price: unchanged at R31.84/kg
Chicken and pork prices typically decline during the first half of the year, and this remains the expectation over the next six months, as lower demand and steady supply continue to weigh on prices.
Feed Market: Lucerne and Chop Prices Ease
- Grade 1 lucerne (inland): R3,500/ton
- Grade 2 lucerne: R3,000/ton
- Prime lucerne (limited availability): close to R4,200/ton
Lucerne prices could come under further pressure in the coming week, as supply has started to build up.
- Chop prices have eased slightly to around R2,900/ton, driven by lower demand and slightly higher supply.
Final Thoughts
Livestock and feed markets are clearly entering a seasonally softer phase, with limited demand and increasing supply placing pressure on prices across most categories. Weather conditions, particularly rainfall patterns, will remain a key variable to monitor in the weeks ahead.
This weekly Livestock and Feed Price Overview was proudly brought to you by John Deere. We’ll see you again next week.