Up to 45c/kg knocked off spring lamb quotes in two weeks

Some factories have dropped spring lamb quotes by another 25c/kg this week; meaning that factories have slashed lamb prices by up to 45c/kg in just two weeks.

As it stands, a 21kg lamb carcass will earn a farmer €9.45 less than the same lamb two weeks ago.

Last week, AgriLand reported that procurement managers had opted to knock 20c/kg off quotes. This resulted in quotes of 500-515c/kg (excluding Quality Assurance Scheme bonuses) being offered for spring lambs.

However, this week’s base prices currently stand at 480-500c/kg (excluding Quality Assurance Scheme bonuses).

Kildare Chilling is offering a base price of 500c/kg and a Quality Assurance Scheme bonus of 10c/kg.

The two Irish Country Meats’ plants in Camolin and Navan are starting negotiations with farmers at a base price of 480c/kg – down 20c/kg on the previous week. This excludes a Quality Assurance Scheme bonus of 10c/kg.

Kepak Athleague have knocked 25c/kg off last week’s quote and is currently offering 490c/kg and a Quality Assurance Scheme bonus of 5c/kg.

Spring lamb quotes:
  • ICM Camolin: 480c/kg + 10c/kg QA;
  • ICM Navan: 480c/kg + 10c/kg QA;
  • Kepak Athleague: 490c/kg + 5c/kg QA;
  • Kildare Chilling: 500c/kg + 10c/kg QA.

Ewe prices have also been dropped and are down slightly on last week. Factory buyers are now offering a base price of 265-270c/kg to secure supplies.

Supplies

Figures from the Department of Agriculture’s sheep kill database show that there was a significant increase in the total number of sheep slaughtered during the week ending July 23.

In total, some 61,360 sheep were processed in approved export plants – an increase of 3,293 head or 5.7% on the previous week. This was mainly due to the number of spring lambs processed increasing by 3,877 head or 8%.

Some 327 fewer hoggets were slaughtered during the week ending July 23 – down 62% on the week previous.

Cast slaughterings (ewes and rams) were also back. Department figures show that cast slaughterings were down 181 head or 2% on the number slaughtered during the previous week.

Week-on-week sheep kill changes (week ending July 23):
  • Hoggets: 202 head (-327 head or -62%);
  • Spring lambs: 52,543 head (+3,877 head or +8%);
  • Ewes and rams: 8,615 head (-181 head or -2%);
  • Total: 61,360 head (+3,293 head or +5.7%).

Main Markets

Little change was reported in the British sheep trade last week, according to Bord Bia, with supplies remaining relatively strong.

The SQQ live price for lamb in England and Wales made the equivalent of €4.58/kg (dead weight).

Trade remained slow in France last week, Bord Bia reports. This has been coupled with an oversupply of imported lamb being available and decreased consumption and demand across the market.