The sale is this week and I wonder what Breeders can expect with the state of the
economy
There is no doubt the Chinese factory shutdown for the last 4 weeks will have a huge impact on
stock of goods into the RSA
Many companies are having the worst February in years and do not think March will
be any better
The racing is dying Stakes are down
I predict a giveaway sale
Any other opinions ?
Last year the average was R64k and the median 50K. The catalogue looks a bit stronger this year, and there is a new incentive race for horses sold off this sale, in addition to the usual BSA incentives for juvenile maidens and graded stakes races, at a moderate entry fee. The export protocol progress is now tangible with a realistic chance that normal direct exports will be possible before the end of 2020. Foal production has reduced steadily each year from well over 3000 per annum a few years ago to below 2000 per annum this year.
On the downside the economy continues to be weak, and the stakes reduction is now a reality. SA racing is in a crisis and it will be an uphill task to grow tote revenues, which is an essential ingredient to maintain and grow stakes.
It now costs R150k to bring a saleable yearling to market - much more if buying a service from a top end sire.
No surprise therefore that breeders are losing money and are reducing production or just stopping.
On that cheerful note, I took 5 to the CTS premier sale, sold 2 lovely yearlings at a loss for R100k apiece, and one profitable yearling at R700k, (one of the best looking and best related fillies on the sale); bought back the other 2 for R100k each and have sold shares in them to my friends to race.
I can confidently say that I have one of the best winners to foals ratios of all commercial breeders eg. My 2015 crop 13/19 = 68% winners and 18/19 win or placed; 2014 crop 13/18= 72% winners and 15/18 win or placed.
2016 crop (current 3 year olds) already 9/17 = 53% winners and 11/17 placed, including Sarah, Drama Queen and Secret Dream.
I have 4 lots at the Mystico sale - 67, 81, 153, 170 all four by Elusive Fort, one of the best value for money sires around. Lot 67 from the family of Helen's Ideal. The first foal runs soon and is looking very promising.
Lot 81- The 3 yo sister Encryption has won and the 2 yo sister Cyber Security has placed since the catalogue went to print. Both run again this week. Lot 153 is a half brother to Sarah who is the highest rated filly sold at CTS in her year. Lot 170 a half sister to a winner Twin Falls that has won again since the catalogue printed.
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