Lamb prices are coming under downward pressure once again as factories are pulling base quotes.
Base prices for today (Thursday, August 25) are back 10-20c/kg from what factories were offering at the start of the week.
This is leaving base quotes for today, across meat processing plants for those that offered a quote to Agriland, at €6.20/kg – which is leaving prices for quality assured lambs at €6.30/kg.
Despite this, deals at the top end of the market, for today at least, have been reported to be secured at €6.50-6.60/kg and as high as €6.70/kg in cases, which is similar to the start of the week.
After a pull of €1.00/kg, or €21 on a 21kg carcass, during the month of July, lamb prices had steadied since the start of the month. However, rumblings of prices slipping back again had been simmering earlier this week and now have become a reality.
The latest cuts in base prices leave prices trending just above what they were this time last year by 10-20c/kg; this time last year, base prices were standing at €6.00-6.10/kg.
Downward pressure has also been applied to ewe prices by some plants. Quotes on Monday (August 22), across the board, were €3.40/kg.
Fast forward to today and a 20c/kg gap has opened up between some plants on ewe prices, with quotes ranging from €3.20/kg to €3.40/kg.
Reaction from farm organisations on the latest price cuts has been one of disappointment and frustration, with many thinking – and hoping – that prices would be moving in a positive direction after a period of prices steadying and then firming up.