Spring lamb supplies have been creeping upwards over the last number of weeks and peaked at 42,920 head during the week ending June 17 – a climb of 12,341 head or 40.4% when compared to the previous week.
On the back of this additional throughput, factories have moved to lower quotes and have imposed price cuts of 20c/kg on spring lambs. As it stands, the majority of processors are now offering 560-570c/kg (excluding Quality Assurance bonuses) to secure spring lambs.
Although factories have imposed strong cuts, there are still a number of deals being done at higher prices and reports suggest that prices of 590c/kg are being offered to secure supplies.
Despite the dip in spring lamb trading, the ewe market continues to remain relatively firm and factory buyers are starting negotiations with farmers at 280-300c/kg (excluding Quality Assurance bonuses) this week.
Supplies
Figures from the Department of Agriculture’s sheep kill database show that some 55,380 sheep were processed in approved sheepmeat export plants during the week ending June 17 – up 11,415 head or 26% on the previous week.
Throughput increases were witnessed in the spring lamb and cast (ewe and ram) categories, while hogget numbers – like previous weeks – dipped further.
When we look at the cumulative sheep kill for 2017, some 1,219,321 sheep were processed in approved export plants up to the week ending June 17. When compared to the same time in 2017, that’s a climb of 4,499 head.
Throughput increases were witnessed in the hogget and cast categories, while spring lamb slaughterings are still running behind 2017 levels.