Lamb and sheep markets experienced a generous lift this week as competition fired up at saleyards and quality generally seemed improved. Prices aren’t quite back where they were four weeks ago, but buyers are certainly seeing opportunity at these levels.
The Eastern States Trade Lamb Indicator jumped 56¢ or 8% on the week to 745¢/kg cwt. In the West, trade lambs also improved, up 33¢ to 514¢/kg cwt. The store lamb market in NSW continues to improve. Restocker lambs in NSW were stronger again this week, lifting 106¢ or 17% to 747¢/kg cwt. Merino lambs gained 112¢ to 676¢ in NSW, while the indicator in Victoria is sitting slightly lower at 661¢/kg cwt.
Mutton prices also improved with the lamb market movement. The National Mutton Indicator bumped up 58¢ to 552¢/kg cwt.
Lamb slaughter lifted 8% in the east last week with over 350k lambs processed. This was 13% above the five year seasonal average level. Weekly sheep slaughter is tracking at close to levels of this time last year but remains down on five-year average levels as the season and outlook encourage producers to hang onto anything of breeding value.
Throughput at saleyards was well down last week though, which initiated the turnaround in price. East coast lamb yardings were 23% lower than the week prior, and down 33% on the seasonal average. Sheep throughput also dropped 18% on the week.
The week ahead….
The next week looks likely to be a wet one for southern parts of the country based on the Bureau of Meterology forecast. Looking further out to Spring and a strong chance of above median rainfall is covering eastern Australia, with lower likelihood for Tasmania and Western Australia.
A wet spring in key southern lamb areas would be likely to keep back some of the supply of store lambs and add to the supply of finished lambs down the track.
In mid-2022 Mecardo looked at the international supply of sheep meat (albeit from a limited number of countries) showing how lower supply had positively correlated
A short week, and closed saleyards on Thursday has culminated in some relief on the supply front as combined lamb and sheep yardings nationally dropped
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Join the Mecardo team for the Commodity Conversations podcast, where we provide short weekly market recaps and longer conversations with guests to discuss the drivers and trends in livestock, grain and fibre markets.
In this report for LiveCorp and MLA, we analysed the historical trends in the demographics of the Australian sheep flock, examining domestic factors that influence farm-level enterprise decision making.
We don’t just bring you the most up to date market insights. Find out more about Mecardo’s services including risk management advisory, modelling, benchmarking, research & consultancy.
Ewe the one that I want
The Eastern States Trade Lamb Indicator jumped 56¢ or 8% on the week to 745¢/kg cwt. In the West, trade lambs also improved, up 33¢ to 514¢/kg cwt. The store lamb market in NSW continues to improve. Restocker lambs in NSW were stronger again this week, lifting 106¢ or 17% to 747¢/kg cwt. Merino lambs gained 112¢ to 676¢ in NSW, while the indicator in Victoria is sitting slightly lower at 661¢/kg cwt.
Mutton prices also improved with the lamb market movement. The National Mutton Indicator bumped up 58¢ to 552¢/kg cwt.
Lamb slaughter lifted 8% in the east last week with over 350k lambs processed. This was 13% above the five year seasonal average level. Weekly sheep slaughter is tracking at close to levels of this time last year but remains down on five-year average levels as the season and outlook encourage producers to hang onto anything of breeding value.
Throughput at saleyards was well down last week though, which initiated the turnaround in price. East coast lamb yardings were 23% lower than the week prior, and down 33% on the seasonal average. Sheep throughput also dropped 18% on the week.
The week ahead….
The next week looks likely to be a wet one for southern parts of the country based on the Bureau of Meterology forecast. Looking further out to Spring and a strong chance of above median rainfall is covering eastern Australia, with lower likelihood for Tasmania and Western Australia.
A wet spring in key southern lamb areas would be likely to keep back some of the supply of store lambs and add to the supply of finished lambs down the track.
Have any questions or comments?
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Click on graph to expand
Click on graph to expand
Data sources: MLA, Mecardo
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Have any questions or comments?
How do the size of yardings move prices in Wagga
Talk to any farmer or local agent, and they will tell you that local supply has an impact on local prices. Many a grower will
International sheep meat supply and lamb prices
In mid-2022 Mecardo looked at the international supply of sheep meat (albeit from a limited number of countries) showing how lower supply had positively correlated
44% drop in supply springs market into action
A short week, and closed saleyards on Thursday has culminated in some relief on the supply front as combined lamb and sheep yardings nationally dropped
Winter is coming, where will lamb land?
While many are focussed on the Anzac Day market of a good autumn break, and whether more rain – or any rain at all for
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Independent analysis and outlook for wool, livestock and grain markets delivered to you as it’s published
Listen to the podcast
Join the Mecardo team for the Commodity Conversations podcast, where we provide short weekly market recaps and longer conversations with guests to discuss the drivers and trends in livestock, grain and fibre markets.
Research: Analysis of the Australian sheep flock
In this report for LiveCorp and MLA, we analysed the historical trends in the demographics of the Australian sheep flock, examining domestic factors that influence farm-level enterprise decision making.
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We don’t just bring you the most up to date market insights. Find out more about Mecardo’s services including risk management advisory, modelling, benchmarking, research & consultancy.