Cattle Shortage Drives Up Prices in Southern Australia

A shortage of cattle in Southern Australia continues to drive feeder cattle prices higher, with most grids increasing by about 20 cents in the past fortnight.

Heavy 400kg+ flatback feeder steers on the Darling Downs are now trading comfortably at 400 cents per kilogram or higher, with quotes reported to Beef Central this morning ranging between 400-410 cents per kilogram.

Angus prices in both northern and southern regions are currently between 500 to 520 cents per kilogram, with one lot feeder quoting 490 cents per kilogram. Meanwhile, heavy British Cross (non-indicus) steers in the south are fetching prices between 450-470 cents per kilogram.

A Southern buyer informed Beef Central that most of the dry areas in Southern Australia have finally received some rain, which has instilled a sense of confidence as Spring approaches. However, due to the delay in pasture growth, there remains a shortage of heavy cattle. Southern lot feeders are therefore compelled to source cattle as far north as Queensland, primarily pulling from regions north of Wagga.

Additionally, rainfall across New South Wales and Victoria at the end of last week, along with snowfall in the Northern Tablelands, has temporarily disrupted access; however, with roads reopening, cattle are expected to start moving again this week.

Cattle numbers continue to flow in Queensland, with agents in Roma preparing for a busy draw of 9900 cattle tomorrow. One buyer told Beef Central that strong sales over recent times have positively influenced market confidence.

Conversely, numbers have been slower further south; heavy rains significantly reduced yardings at the Tamworth cattle sale, resulting in only 600 head being penned. However, numbers surged back to 3000 head at Wagga today after plummeting to 1500 due to last week’s rain interruptions. According to the National Livestock Reporting Service (NLRS), feeder steers weighing between 330-400kg surged by 26 cents compared to last week, ranging between 446 to 568 cents per kilogram, with only 98 feeder steers exceeding 400kg.

The NLRS feeder steer indicator opened this week at 448 cents, representing a rise of about 20 cents since the start of last week following a reduction in numbers. Specifically, 400kg+ feeder steers increased by 19 cents in Queensland and 16 cents in NSW, averaging 417 and 473 cents respectively.

Source: MLA NLRS saleyard indicators Monday 4 August 2025.

Forward Prices Adjust Higher

StoneX Australian livestock manager Ripley Atkinson noted that the recent price increases have led to forward bids exceeding 400 cents per kilogram for upcoming months.

“Buyers are actively engaged in the market, showing genuine bids well into 2026,” he stated.

“Sellers are responding to strong price signals in the spot market, allowing for higher bids in forward contracts. This creates an attractive strategy for securing solid rates while managing risk through swaps.”