AVERAGE prime beef prices in Scotland are now some 40p per deadweight kg higher than this time last year, and they would be higher if the cattle were uniformly graded.
“Cattle kill out better south of the Border because they are not being trimmed as hard,” said one extremely disgruntled producer.
“There is no uniformity in the grading system in this country, with most of the cattle being trimmed heavily, which means they don’t have the weight, grade or the killing out percentage they would have if they had been graded in England and Wales,” said another farmer, who wished to remain anonymous.
It was a point highlighted by John Hamilton, speaking at Scotland’s Beef Event, at Fans Farm, too.
“Processors have to be more open with their grading system and work to the same spec' and we have to be able to see how the cattle are being classified,” he said.
Unfortunately, no-one was available for comment at the Scottish Meat Wholesalers Association.
While the grading system will always prove a hot topic for debate, beef prices are, nevertheless, fast approaching a three-year high, with Aberdeen-Angus beef already hitting the magical £4 per deadweight kg.
Latest figures from AHDB show that the average price for steers in Scotland again improved on the week too, by 1.6p per dwkg, to level at 377.5p, with those hitting the R4L spec' cashing in at 383.1p, while heifer averages rose 3.1p to 380.7p, with R4L heifers levelling at 384.2p.
This compared to those south of the Border which also improved on the week, but only by 0.5p for both steers and heifers. 
Steers averaged 352.4p with the R4L cattle at 365.3p, with heifers at 357.0p and 366.8p, respectively.
However, while both young bull and cull cow values have remained buoyant over the past month, increased numbers in both sectors have resulted in prices slipping for the week ending June 10, in Scotland. Young bulls are down almost 6p at 356.8p, with cows dipping 10.4p to 269.0p. 
Conversely, despite increased numbers in the south, values for young bulls and cows have remained positive with prices up 3.3p and 1.2p to 342.5p and 247.6p, for young bulls and cows, respectively
According to Stuart Ashworth, head of economics services at Quality Meat Scotland, prices are being supported by a lower availability of prime cattle in Scotland than last year and also lower carcase weights. 
Within this supply profile, prime heifer availability is little changed, while steer and young bull numbers have fallen. 
“This reflects the consequences of encouragement towards lighter carcases, thus encouraging earlier marketing of male cattle,” he said.
“Latest estimates show a decline in the carcase weight of steers between March and April, a time when they historically increase. 
"Average steer carcases during April in Scotland were reported as 387kg, 10kg lighter than last year and 4kg lighter than March. Heifers produced carcases 3kg lighter than last year during April.” 
Census data and data from BCMS would suggest that this scenario of tighter male cattle supplies, while heifer supplies remain more stable within Scotland is likely to continue through the summer too, according to Mr Ashworth. 
Nevertheless, changes to slaughter numbers and carcase weights mean that over the first third of 2017 domestic beef volumes have fallen around 3% compared to last year. 
And, while there is lower physical production of beef in the UK, latest reports from Kantar Worldpanel consumer research show some modest growth in retail demand both for prime cuts and added value beef products compared to this time last year. 
There has also been a change in the balance of trade for beef. 
“With the exception of December and January, sterling’s weakness since the Brexit vote last June has contributed to lower imports of beef into the UK. 
Furthermore, increases in farmgate prices in Ireland over the past three months have resulted in Irish prices currently sitting 2% above a year earlier, compared to 1% lower at the end of March. This has combined with the weakness of sterling to reduce the attractiveness of Irish imports.
Lower production, lower imports and slightly improved consumer demand has meant that, despite currency exchange weakness, in euro terms UK beef prices are higher than last year.
However, this has contributed to UK exports of beef in the first quarter of 2017 failing to match those of 2016. 
And, as the prime beef market has improved, so to have store cattle values, according to United Auctions director and auctioneer, John Roberts. He said: “Overall, store cattle prices were up £15-£25 per head on the year in January and since then they’ve risen a further £35-£50 per head on the back of the improved fat trade."