In Scotland, prime cattle prices have hit a new record high in February 2023, with R4L steers reaching 489.2p/kg dwt in the week ending February 25th.

This represents an increase of 18.5% over the same week last year and 30% compared to the five-year average.

This is unusual as market prices are typically lower in the eighth week of the year compared to the first week of the year. Prime cattle prices have been rising despite weekly prime cattle slaughter being seasonally firm, running above its 2022 weekly average level, with spring-born cattle from 2021 reaching peak slaughter age.

Scottish abattoirs are currently drawing from a large group of cattle aged just under two years old, but age at slaughter tends to be older and more varied at GB level during the first quarter.

Furthermore, the UK market is facing external price shocks from the EU and global beef market, where a tight balance between supply and demand has been forcing up prices.