Despite the doom and gloom surrounding the livestock sector and the potential for a 'no deal Brexit', there is some optimism in the beef and sheep industry in the North-east.

According to John Angus, head of livestock at Aberdeen and Northern Marts' finishing cattle have done well over the winter as they were generally housed earlier because of last summer’s weather and shortage of grass and more barley has been fed to compensate for scarce silage.

Cattle courts are emptying and finishers are in the market for heavier store cattle to finish inside, or lighter cattle to go on to grass.

He added that store cattle could also hit the market earlier this spring as winter feed supplies are exhausted.

“It’s a catch 22 situation,” said Mr Angus. “Margins on finishing cattle are tight because of high feed costs which is understandably making buyers more cautious but breeders need the money to cover their costs.

“Prices were back 12p per kg on the year for steers and 13p/kg for heifers at our anniversary show and sale on January 4, but there was a bigger ringside of buyers than I’ve ever seen at the sale so cattle are wanted.”

Mr Angus expects big lots of yearling stores to start coming on the market to go on to grass from mid-February onwards and is confident they will be wanted despite the fact silage and hay are still commanding premium prices. Good quality hay has been making more than £40 plus per bale to the horse market – at the weekly sale at Thainstone, and there has been no easing yet in the price of straw.

He added that there's confidence in the beef sector, with in-calf heifers calving in February/March averaging £1700 and heifers with calves at foot over £2000, at the mart's last sale.

Trade for cull cows is also improving, according to Aberdeen and Northern Marts' prime and cull cow manager, Tim McDonald, who is hopeful prices will firm further.

“Fleshy cull cows with good shape which have been fed are required but sellers should be careful to present them in clean condition to attract a premium price,” said Mr McDonald.

The market for prime cattle is also tighter. The pre-Christmas delays in getting cattle moved have disappeared and abattoirs are moving cattle quickly, which is an indication of scarcity which should hopefully help prices to firm.

Commenting on the sheep trade, deputy head of livestock, Colin Slessor said old season lambs have started the year well but warned producers not to expect the phenomenal trade achieved last year.

“I’m optimistic about the trade as lambs are scarce and I expect prices to continue firming over the next few weeks,” said Mr Slessor. “But don’t expect prices to reach the dizzy heights of last year which was a unique situation.”

Feed prices are 25% higher than last year which is having an effect on margins but if the open weather continues finishers might get away with less concentrate costs.

Moving the sale of cast ewes at Thainstone from Friday to Thursday when they are sold immediately after the prime lamb sale is working well for both buyers and sellers. Despite plenty of buying power, trade is described as “steady”, with best cull rams and heavy ewes making anything from £100 to £140/head in the live ring.

“With numbers likely to tighten, I’m optimistic we will see prices rise,” said Mr Slessor.