The Eastern States Trade Lamb Indicator (ESTLI) finished the
week slightly behind the previous one, declining 2% (17 c/kg) to average 623
c/kg for the week. This is despite a more significant drop in yardings, down
18% (7.3k head). Wagga and Ballarat had the biggest contribution to the
indicator, 22% and 17% respectively. With identical prices averaged for both sales
of 629c/kg.
The National Mutton Indicator (NMI) rose this week, helped
by a 47% decrease in yardings on the previous week. The NMI closed the week
averaging 250 c/kg, up 18% on the previous week. There was quite a spread in
results from top contributing saleyards for the week. Dubbo, which contributed
18% to the NMI, averaged 13% below the indicator at 216 c/kg. Whilst Wagga, the
second largest contributor of 13%, averaged 37% above the indicator at 341
c/kg.
The Restocker Lamb indicator fell 8% (42c/kg) closing the
week at 514 c/kg, despite a significant drop in yardings (47%). Ballarat was
the largest contributor, its saleyard report talks to the usual buying group
not in full attendance and some processors absent.
The Merino lamb indicator had the strongest performance week
on week in a dollar sense, closing the week up 11% or 53 c/kg, pushing the
indicator back above the 500 c/kg level to 539 c/kg. The South Australian
livestock exchange averaged the top price of 633 c/kg for the indicator and
helped lift the indicator with its 19% contribution. Its saleyard report talks
of an additional buyer present, helping increase the competition.
Yardings for the week were significantly down on the
previous week, continuing the fall from recent elevated levels. Initial data
from the MLA indicate a decrease of 24% (99k head) for total lamb and sheep
yardings for the week. Slaughter levels for the previous week remain near all-time
highs, but were back 2% on the previous week.
Mutton mounts a comeback
Next week
The decrease in yardings seen in the last few weeks should start to bring some price upside provided demand remains consistent. However, this week some saleyard reports talk of decreased activity at the rail and some absences of buyers, which if continued will see further downside in price as demand also shifts with supply.
Have any questions or comments?
Click on graph to expand
Click on graph to expand
Click on graph to expand
Data sources: MLA, Mecardo
Categories
Have any questions or comments?
Can extreme US lamb prices flow here?
Trying to decipher US lamb prices is hard for someone with experience in market analysis. After trawling through United States Department of Agriculture (USDA) website
Erratic may market
Some more rain has fallen, but demand remains patchy. Light lambs to slaughter remain under pressure and heavy cull lambs and sheep remain a rare
Sheep slaughter falling short of forecasts
We’ve been hearing about the short supply of sheep and lamb for some time, but with a third of the year now gone, we can
Back to the paddock demand lifts light lambs
There was a clear divide between buying types this week, as most indicators remained fully firm to higher with the exception of heavy lambs and
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.
MEET THE TEAM
Our team of market analysts are recognised as leaders in Australian Ag market analysis, providing invaluable insights to help you navigate the ever-changing commodity landscape.
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.