After a few weeks of improvements, the Eastern States Trade Lamb Indicator (ESTLI) lost 26¢ to end the week at 842¢/kg cwt. In Western Australia, the Trade Lamb Indicator gained 14¢ over the week to 732¢/kg cwt.
Results were mixed between categories, with the last weeks results largely flipped on their head. The National Heavy Lamb Indicator lost nearly half of last weeks gain, ending at 865¢/kg cwt. Merino and light lambs each improved, lifting 20 and 30¢ respectively. In South Australia, prices have been volatile recently but it was green across the board this week with large price lifts for the available store lambs.
The National Mutton Indicator made up an additional 20¢ over the week to 634¢/kg cwt. With the AUD edging lower each day, overseas buyers are likely snapping up mutton while it’s competitively priced, compared to recent months.
Lamb slaughter continued to lift last week, rising 4% from the week prior, while sheep slaughter dropped 7%. It was the first time since the end of August that the weekly slaughter rate for lamb and sheep combined has been higher than the same time last year, even if only slightly.
East coast lamb yardings lifted another 10% last week, with 204,813 head yarded. In the last fortnight weekly lamb yardings have lifted over 30%. Unsurprisingly it’s in Victoria where the lambs are heading to saleyards at a stronger pace. An additional 14,903 lambs were yarded in Victoria compared to the week prior. But the seasonal delay is still being reflected in the weekly numbers with 14% fewer lambs yarded than the same time last year in Victoria.
Sheep throughput also jumped last week, up 25% on the week prior, largely due to a significant lift again in Victoria.
Mutton bounces back
After a few weeks of improvements, the Eastern States Trade Lamb Indicator (ESTLI) lost 26¢ to end the week at 842¢/kg cwt. In Western Australia, the Trade Lamb Indicator gained 14¢ over the week to 732¢/kg cwt.
Results were mixed between categories, with the last weeks results largely flipped on their head. The National Heavy Lamb Indicator lost nearly half of last weeks gain, ending at 865¢/kg cwt. Merino and light lambs each improved, lifting 20 and 30¢ respectively. In South Australia, prices have been volatile recently but it was green across the board this week with large price lifts for the available store lambs.
The National Mutton Indicator made up an additional 20¢ over the week to 634¢/kg cwt. With the AUD edging lower each day, overseas buyers are likely snapping up mutton while it’s competitively priced, compared to recent months.
Lamb slaughter continued to lift last week, rising 4% from the week prior, while sheep slaughter dropped 7%. It was the first time since the end of August that the weekly slaughter rate for lamb and sheep combined has been higher than the same time last year, even if only slightly.
East coast lamb yardings lifted another 10% last week, with 204,813 head yarded. In the last fortnight weekly lamb yardings have lifted over 30%. Unsurprisingly it’s in Victoria where the lambs are heading to saleyards at a stronger pace. An additional 14,903 lambs were yarded in Victoria compared to the week prior. But the seasonal delay is still being reflected in the weekly numbers with 14% fewer lambs yarded than the same time last year in Victoria.
Sheep throughput also jumped last week, up 25% on the week prior, largely due to a significant lift again in Victoria.
The week ahead….
While processors are still reporting constraints due to lack of labour, the rise in slaughter levels in recent weeks suggests that at least some have managed to find additional capacity. How much more capacity there is for further slaughter increases remains to be seen. While producers will respond to any significant falls in the market by holding back stock, the limitations of processors are likely to stifle much upside.
Have any questions or comments?
Click on graph to expand
Click on graph to expand
Click on graph to expand
Data sources: MLA, NLRS, Mecardo
Categories
Have any questions or comments?
2024 a year of recovery for lamb?
It’s that time of year when we dust off the crystal ball and take a look at what markets are likely to do in 2024.
More rain lifts prices
Widespread rain on the East Coast helped prices continue their upward trajectory, supported by a decrease in throughput as growers’ feed supply concerns further eased.
Lamb turnoff takes precedence
Sheep slaughter for the September 2023 quarter rose year-on-year but dropped in comparison to the previous quarter, the first time this has occurred since 2016.
Lambs are looking up
Rainfall in the east – whether it actually fell or is still forecast to come – continued to support sheep and lamb prices this week,
Want market insights delivered straight to your inbox?
Sign up to the mailing list to get regular updates to new analysis and market outlooks
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.
SERVICES AND CAPABILITIES STATEMENT BROCHURE
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.