Offer of cows for slaughter remains high

The number of massacres Since week 20, between 10.598 and 13.347 cows have been moving, which are particularly high numbers for the summer period. However, in week 30 the number drops again to 9.464 pieces. That is still the highest weekly number since 2015, but still considerably lower than in the previous weeks.

Maintenance in slaughterhouses
Inquiries show that this was mainly due to maintenance in the slaughterhouses. The supply of cows was still ample in week 31. In addition, week 32 started more quietly, but this is partly attributed to the drought and high temperatures. It means that less happens.

Cow slaughter continues at full speed in Germany. For example, the slaughter of heifers in week 30 shows an increase of 19,26% compared to 1 year earlier. The slaughter of cows EP maintains a lead of 21,25%. Cows O3 and R3 record pluses of 32,33% and 28,01% respectively.

In Germany, the high slaughter numbers show that selection is taking place earlier than in other years. In the Netherlands, the massacres have been increasing since week 26, sometimes even in double figures. That is something that is dictated by the phosphate rights system.

The phosphate rights system means that dairy farmers have to calculate. Where necessary, they adjust the livestock herd so that it corresponds to the amount of rights. The calculations continue continuously, because the clearing of livestock at the bottom has a positive effect on the average milk supply and therefore has a negative effect on the phosphate balance.

Worried about food?
The pressure is on the feed supply, as a result of the stagnant grass growth, this has stimulated something. However, concerns about sufficient food are not mentioned as a main reason. However, it has been noted that the herds of the stoppers are no longer taken in by Dutch livestock farmers. The buyers for this must be found across the border.

Partly as a result of the high slaughter, prices have started to decline. There is another factor hindering beef sales, and that is the lackluster mood in retail. The meat trade is generally difficult in the summer, which also puts some pressure on the price of beef. Although a step has been taken back, the price is not yet at a low level. This is due to the high price level of last year, but that also means that the market may look different again after the summer.

The dip of week 30 is therefore seen as a dip temporary dip. The slaughter capacity determines how long this situation will persist. At the same time, it is expected that the increase in supply will not last for weeks, partly because a lot of livestock has already been cleared. Yet time has shown that the supply of cows for slaughter (since the introduction of phosphate rights) has never been so erratic.

Export is proceeding smoothly
Due to the holidays, it is also slightly quieter in livestock exports. There will be a supply of cattle that are between 0,5 and 1,5 years old, which has to do with the phosphate rights. The buyers are mainly countries such as Hungary, Romania and Poland. England was on the market, but that has not been the case in recent weeks. There are certainly areas where the drought is putting pressure on feed stocks, which has reduced purchasing interest.The dip of week 30 is seen as a temporary dip.