Although cattle sales of the Australian Agricultural Company (AACo) rose in the first three months of 2013 to 41,186 from 29,646 compared to the same quarter in 2012, average price per head went down to $980 from $1,255.

AACo explained the dip to the depressed domestic cattle markets and low rainfall. It also pointed to the government's temporary suspension of live cattle exports to Indonesia in 2011, the subsequent cut in live cattle permits and high Australian dollar as the reasons behind the weaker prices of the commodity.

"Due to the continued depression in domestic cattle markets, AACo expects to incur a negative non-cash mark-to-market impact on the valuation of the trading and breeding herds, the quantum of which is currently being reviewed," AACo said in a statement.

The firm said it will closely monitor Australia's weather to craft its ongoing sales strategy in time to update the share market by mid-April when AACo releases its financial report for the March quarter.

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