The annual round of sales of bulls bred for beef production is underway following last week's national Beef Expo in Feilding.
PGG Wrightson's livestock genetics manager Bruce Orr, who's also auctioneer at the expo, says it's shown there's some hesitancy in the demand for bulls despite the strong export market for beef.
He says the decline in breeding cow numbers in beef herds is tempering the demand for bulls, due to more of the beef supply coming from ever-increasing dairy herds.
Mr Orr says the conversion of sheep and beef farms to dairying is continuing, but there are signs that some farmers are looking to build up sheep numbers again.
He says most beef bull breeders will be happy if this year's sales hold prices and demand at last year's level.