Shares in Wellard lost more than a quarter of their not- very-high value on Tuesday to reach a record low of 14c. SMH reported that Wellard warned it would sink further into the red as high prices for local cattle weighed on demand from Asia.
Apparently, Wellard said on Tuesday that cattle prices in Australia remained "uneconomically high" as farmers held stock and grew their herds, reducing demand from live export markets in South-East Asia. Hmm uneconomical for Wellard, not the farmers it seems.
Anyhow, less cattle going (great), exporters not doing well (great) and bad luck for those shareholders who chose stocks in an inherently risky business.
The Al Shuwaikh (Emmanuel Exports) is loading in Fremantle. The temperature in Freo as VALE monitored sheep trucks on his grey overcast morning was 10.5 degrees Celsius. These sheep are headed for the height of the Middle East summer. Temperatures in most locations will be early to mid 40s next week. Who knows what they will be when these poor sheep arrive.
In July last year, Emmanuel Exports Pty Ltd lost 3027 sheep, 4.36% of its load on a voyage from Fremantle to the Middle East (see latest Parliamentary Report).
The chances of some or all of these sheep suffering some degree of heat stress on this voyage is high. Poor vulnerable sheep.