Negotiating the uncertainty of a dry autumn and export markets that remain wary of Covid, South Island farmers are demonstrating quiet confidence, which is reflected in their recent demand for livestock.
PGG Wrightson South Island Livestock Manager Shane Gerken says this season’s South Island calf sales began positively.
“Traditional steers are selling at auction between $3.10 and $3.20 per kilogram, with heifers selling between $2.50 and $2.60.
“These values are in line with vendor expectations. After last year, when the selling season was seriously affected by the lockdown, we had little option other than to sell privately. With freedom from lockdowns this year, being able to revert to the status quo is therefore a relief for all concerned. Now that the bulk of calf transactions is once again undertaken through auction, vendors and purchasers can be confident that the market is arriving at true, open and transparent values for their stock,” he says.
Meanwhile, with Canterbury cropping farmers purchasing store lambs to finish through the winter, Shane Gerken says that market is also steady.
“Onfarm lamb sales are generating good demand. Market signals for sheep meat are positive, providing farmers with the confidence to buy lambs.
“With anxiety about the lack of moisture starting to intensify in most South Island districts however, that positive mindset may be fragile and may not last without some decent rain in the next few weeks,” he says.