Recently Bindaree Beef was awarded a judgment against a former Chinese partner by a Supreme Court judge after an agreement went astray.

From what we can gather the arrangement came into being before the dramatic rise in beef cattle prices and included a proviso that if prices took off, which they did, the Chinese partner had to cop the price rises in good faith.

So, the price of the 900-head processed each week for the consortium was linked to any movement in the market. 

The Eastern Young Cattle Indicator (EYCI) in the period of six months under discussion moved upward by 180c/kg or 43 per cent causing serious stress and losses to the overseas importers, whom as you would imagine, wanted out of the deal.

Bindaree continued to process cattle under the contract as was its right.

Finally, the matter went to the Supreme Court where Judge David Hammerschlag found in favour of Bindaree awarding it $31.35 million in compensation, with costs yet to be determined.

The Chinese company initially involved has been sold to another Chinese conglomerate. This will no doubt further muddy the waters. You could probably expect an appeal in the near future.

Export processors across the North and no doubt elsewhere across Eastern Australia are winding down for the festive season with some of the last fair dinkum kills to occur about the middle of December.

Companies such as Bindaree Beef at Inverell and Dubbo’s RJ Fletcher International will, as I understand, continue to process livestock right through December and January. RJ Fletcher’s last kill for 2017 will be on December 22. It will re-open for business on January 2, 2018.

Dubbo agents yarded 4125 head on December 7. This proved to be more than many predicted and comprised some good runs of cattle. Some lines of attractive lightweight feeder cattle looked to be better in a market that became stronger the further the sale progressed.

Light feeder/restocker type quality steers at $3.50c/kg looked as good as we have seen in recent days, with one major export processor not competing and another not in attendance. Heavy steers and bullocks slipped by at least 10c/kg. Best cows declined by 3c to 6c/kg. Bulls reached 274.2c/kg.