The stud stock selling season is underway across the country, a period which is extremely busy for staff and clients.
In the context of softer livestock prices, clearance rates have been mixed across the country to start spring. Prices for rams and bulls have eased, however buyers are still motivated to continue their breeding programs, taking a long-term view of genetic improvement.
As spring begins, we asked some of our stud stock managers what their expectations are for the selling season ahead.
Queensland
“Results from early sales are to be considered strong. The market obviously isn’t at the highs seen in 2022 but a 25 to 50 per cent (pc) correction is common at this stage. As we get further into the season, we may see some harder days at the office. Buyers are prepared to pay a rate for the right article but if the article isn’t right because of quality or poor presentation, there will be a hit to clearance rates and averages.
“Seasonal conditions in Southern Queensland (QLD) are deteriorating by the day, while parts of Central Queensland, Western and Northern Queensland are experiencing a better than normal season for this time of year with a body of dry grass. A couple of out of season rainfall events that fell in the last four to six weeks over Western, Northern and parts of Central Queensland has seen a response in some pastures.
“Our selling ability is in good shape; we are involved in more sales than ever.” - Michael Smith, Elders Stud Stock Manager, QLD/NT
Victoria
“Spring ram and bull sales will commence this month, with the main volume of sales being conducted around Victoria and Riverina in September and October.
“Sheep markets with 2022 expectations for the upcoming ram and bull sales will possibly see a slight decrease for average price from the outstanding results achieved in the last two years.
“Elders once again will conduct more stud sales across Victoria and Riverina than any of our competitors with our clients relying on our strong network support and professionalism to help deliver a strong sale result.” - Ross Milne, Elders Stud Stock Manger, VIC/RIV
New South Wales
“The bull sale season has kicked off on a stronger note than might have been expected given the broader cattle market situation.
“The breeding aspect of beef production moves in longer cycles than the shorter-term trading operations. Bull buyers are therefore happy to invest for the longer-term genetic improvement in their herds.
“The market has definitely turned back in the buyers favour, with many securing a better-quality bull for the budget they have allowed for.
“The pullback in price for the 2023 spring bull sale season will be a prime opportunity for breeders to keep their foot on the pedal with their herd improvement programs following the retention of their best females post drought.” - Paul Jameson, Elders Stud Stock Manager, NSW.
South Australia
“The sales results for the 2023 selling season so far in South Australia have been mixed. While some well-established Merino studs are achieving good clearances, the average price has eased $200-400/head compared to last year. Buyers are making the adjustment in line with the drop in commercial prices.
“Additionally, a few smaller sales have had a clearance rate of 40-50pc due to a lack of buyers – some of those being station orders that didn’t operate this year. There have been two sales however that bucked the trend and exceeded last year's average price.
“Most of the early sales have been for Merino rams, with a few British Bred sales that have been ok still averaging $1,000-1,300/head.
“Auctions Plus, which was used during the Covid years when buyers couldn't attend sales in person, is less active this year. Vendors are encouraging buyers to attend the sales in person to physically see the rams. Sales that have chosen to use Auctions Plus again this year have experienced a decrease in buyers using the platform. Auctions Plus tends to be more effective when the stud provides strong data, such as ASBV in Merino and lamb plan for British Breeds.
“While the higher South-East rainfall area is still holding on and in good order, farming areas are needing more rain to keep crops going and the pastoral zones are going ok – but will also need rain. SA is the driest state in the driest country, so rain is always on the farmer’s mind.
“We think that the well-established Merino sales will continue in the same vein – still selling numbers but with averages back on the high prices of recent years. The same with established British Breed sales, where support will still be there but maybe at a lesser price as the season rolls on.
“It will be interesting to see how the wool shedding breeds perform, as we are seeing more interest in this section, especially in pastoral areas, where finding shearers has been a challenge.” - Tom Penna, Elders Stud Stock, SA
Western Australia
“Western Australia (WA) has now commenced our annual ram selling season. Elders conduct around 90 ram sales (Merino and meat breeds). These sales are conducted over a two-month period, so it is an extremely busy period of our stud stock and network teams.
“WA is early in the sale calendar; however initial signs are reasonably encouraging with clearance rates in the Merino and Poll Merino sales approximately 10 to 20 per cent down on last year’s comparative sale results and prices reflecting a similar percentage correction.
“Correspondingly within our meat breed offerings we appear to be experiencing stronger clearance raates. As is the current trend however, average prices also reflect a decline on last year’s sale results.” - Dean Hubbard, State Livestock Manager, WA