MLA reports that the high Australian dollar and lower export demand, have been the underlying factors behind the fall in grown steer throughput at yards covered by MLA's National Livestock Reporting Service.

Increased turnoff in previous years, as a result of consecutive dry seasons, has also contributed to the reduced supply.

With the $A hovering above the US90¢ mark in the past week, export demand eased further, MLA reports.

Consequently, prices received for export grades have decreased, encouraging less processor activity and reduced producer offloads.

Compared to the same period last year, when cattle prices peaked during the first half of October, Japan ox prices were 19pc lower this week at 162.4¢/kg (live).

Queensland grown steer throughput, fell 29pc on last year, as an overall shortage of cattle, especially in the north, combined with the competitive live export.

Falling prices in physical markets also encouraged producers to hold on to stock.

Good rainfall throughout Victoria in September have resulted in ample feed supplies, allowing producers to hold on as values ease.

Consequently, grown steer supply fell 45pc in the state for the first two weeks of October year-on-year.

In NSW, grown steer supply went against the trend, with numbers rising 9pc in October compared with last year.

Despite falling prices, the lack of rainfall throughout the month continues to drive cattle onto the market.