The economic crisis, together with the problem of overproduction of thoroughbreds in some European countries, significantly impacted the prices that racehorses reached at auction. In the last few years, however, we have witnessed quite a sharp rise in prices. In conjunction with the weakening of the Czech crown, this has made racehorse purchases at European sales considerably more expensive for Czech owners. Will prices continue to rise this year? We have posed a series of questions on this topic to the two bloodstock agents operating in the Czech Republic, Christian Richner and Tomáš Janda.

1.    What developments do you expect in European Sales this year? Do you expect prices to rise, fall, or be the same as last year?

Chris Richner: I expect a rise at the premium sales, as we will probably see quite an increase in demand from China. This is based on the assumption that the economic situation is going to remain stable. In the normal sales, I expect the prices to remain stable, perhaps even be a bit cheaper.

Tomáš Janda: I’m expecting prices to rise again this year, especially in yearling sales. As long as nothing exceptional happens, people will be interested in yearlings. There will be a considerable increase in the numbers of yearlings in years to come, perhaps in the end leading to overproduction.

2.   Do you expect same trend in all European sales, or do you expect different trends in different kinds of sales?

Chris Richner: Premium yearling sales prices will probably be on the up. The same for breeze-up sales, especially for early-type horses, as everybody is looking for 2-y-o starters. The leading sales will see very high prices for top-quality horses, as overseas buyers, from Australia and especially from China, will go for them. There will also be high prices for good jumping prospects.

Tomáš Janda: I think prices for the most expensive yearlings will keep going up, and the differences will continue to grow.

3.     How do you see the developments at yearling sales in various price ranges (elite yearlings, medium class yearlings, cheap yearlings)?

Chris Richner: Elite yearling prices will continue to rise. Medium class, there will be a slight rise. Cheap yearlings will remain cheap, but the prices will be higher than last year because of higher demand in this segment and smaller numbers of horses.

Tomáš Janda: I think that the trend will be the same for all sales, but there could be some minor differences. There could also be some differences between England and the countries where payments are in euros, if the exchange rate for the pound fluctuates. Last year, for example, due to the strong pound, the English bought a lot in Ireland, and plenty of foreign purchasers went to Ireland instead of Newmarket. And in Ireland, prices rose steeply.
 
4.     Where do you see the best opportunities for buyers - in terms of country, type of sale and price range?

Chris Richner: France. These horses are well adapted to our climate. However, it will be increasingly difficult to buy horses in the EUR 5 000 range. For a decent yearling, you must be prepared to pay between EUR 15 000 and EUR 25 000. For potential top-class horses the sky will be the limit. The BBAG October sale for cheap yearlings, the BBAG August yearling sale for horses in the medium range, at around EUR 20 000

Tomáš Janda: I think the most advantageous prices for yearlings are still in Ireland. For me, the best price-performance ratio in the long term has been at the Tattersalls Ireland September Yearling Sale, but it is true that last year, due to the exchange rate for the pound, which I mentioned in my previous answer, the prices at this sale went up a lot, and it was the same last year for Book 3, again due to the strength of the pound. It’s hard to choose the best opportunities according to the type of sale, because it depends what the owner’s looking for, what his budget is, etc. The biggest chance of buying a good horse for a small amount is with yearlings. But, of course, that is also generally where the highest level of risk is. If I want to buy a good quality horse in training, it’ll always be more expensive.

5.     What is your favourite sale, and why did you choose this one?

Chris Richner: The Arqana October and November sales, because I know the market. The Arqana July mixed sale for breeze up horses, as they will be not too expensive but may only be able to debut in October, and also for some horses in training with some form, or for potential jumping horses.

Tomáš Janda: I’d say it’s the Tattersalls Ireland September Yearling Sale, because the best price-performance ratio is exactly what I’m looking for for my owners. At every sale you can find a horse with a good price-performance ratio, but at this sale there is the biggest number of such horses. From the point of view of pleasantness, the Arqana August Sale certainly comes out on top. There is a wonderful environment and atmosphere. The Arqana sales are also interesting for the growing number of clients who are looking for a horse that qualifies for French owner’s prizes.

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This interview first appeared on the Fitmin-Turf website. The interview was made by Fitmin-Turf website editor Miloslav Vlček.