After pig prices fell, cattle prices in the Netherlands are now also under pressure. Ameco has lowered its purchase prices by €0,10 per kilo starting Thursday.
In an explanation of the reduction, Ameco cites the sluggish meat sales and falling component prices. Industrial meat sales are struggling, and as a result, much of it currently needs to be frozen, the company states. The price reduction applies to cows, bulls, and organic cattle. Whether other slaughterhouses in the Netherlands are also lowering their prices is unknown.
A round of phone calls through the market reveals that cattle traders are surprised by the price drop. Cattle prices in the Netherlands also fell in mid-October, but the market partially recovered. Meanwhile, the supply of luxury beef cattle remains tight. Dairy farmers have also seen a decline in supply in recent weeks. This follows the recent culling of more cows due to the rapid drop in milk prices.
This explains the trend in the Dutch slaughter figures. From the beginning of October, the slaughter figure began to rise, with weeks 44 and 45 seeing more than 12.000 slaughtered for the first time since January, the highest number since 2019 at this time of year. In week 46, the slaughter figure dropped back down to 10.849.
In Germany, the price of O-quality cattle rose by €0,10 to €5,60 per kilo earlier this week. However, this appears to be an upward correction following sharp price reductions in previous weeks. Cattle prices have also been falling recently in Ireland.