It was a steady week for lamb prices, despite an impressive jump in yardings last week, supply seems to be matching demand. Mutton prices made a move upwards however, particularly in Victoria where the market was generally stronger.
Lamb returned to yards in leaps and bounds in the week ending the 5th of February 2021. Compared to the shortened Australia day week, east coast lamb yardings were 140% higher. With 245,441 head yarded, this was the highest yarding for this time of the year that we have on record (27% above the five-year seasonal average).
Victoria and South Australia were responsible for much of the spike, where the number of lambs yarded was 71% above the five-year average in VIC and 63% above in SA.
While the lift in sheep yardings week on week was also significant, last weeks tally was still 11% below the five-year seasonal average. Some more kill space opened up for mutton last week and prices this week are reflective of that stronger demand. The National Mutton Indicator gained 26¢ to sit at 633¢/kg cwt. In Victoria mutton was 44¢ dearer by the end of the week with the indicator at 655¢/kg cwt, which is just below NSW at 657¢/kg cwt.
The Eastern States Trade Lamb Indicator tracked sideways, down just 1¢ to 847¢/kg cwt. Heavy and light lambs each gained 6¢ on the week while re-stocker lambs were fairly steady.
We touched on lamb export demand earlier in the week and the below average volumes in January (view here). With the dollar appreciating another 1% this week, it certainly isn’t doing any favours for our export markets. The ESTLI in USD is 657¢/kg cwt which is 7% higher than the same time last year.
The week ahead….
Lamb prices have been quite steady for a few weeks now, and it appears that even the swings in yardings aren’t shifting the price level of the market.
Australian sheepmeat exports have steamed past their previous financial year record, with our two major markets upping the ante, and both Middle East and South-East
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.
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.
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.
Price unshaken by an influx at the yards
Lamb returned to yards in leaps and bounds in the week ending the 5th of February 2021. Compared to the shortened Australia day week, east coast lamb yardings were 140% higher. With 245,441 head yarded, this was the highest yarding for this time of the year that we have on record (27% above the five-year seasonal average).
Victoria and South Australia were responsible for much of the spike, where the number of lambs yarded was 71% above the five-year average in VIC and 63% above in SA.
While the lift in sheep yardings week on week was also significant, last weeks tally was still 11% below the five-year seasonal average. Some more kill space opened up for mutton last week and prices this week are reflective of that stronger demand. The National Mutton Indicator gained 26¢ to sit at 633¢/kg cwt. In Victoria mutton was 44¢ dearer by the end of the week with the indicator at 655¢/kg cwt, which is just below NSW at 657¢/kg cwt.
The Eastern States Trade Lamb Indicator tracked sideways, down just 1¢ to 847¢/kg cwt. Heavy and light lambs each gained 6¢ on the week while re-stocker lambs were fairly steady.
We touched on lamb export demand earlier in the week and the below average volumes in January (view here). With the dollar appreciating another 1% this week, it certainly isn’t doing any favours for our export markets. The ESTLI in USD is 657¢/kg cwt which is 7% higher than the same time last year.
The week ahead….
Lamb prices have been quite steady for a few weeks now, and it appears that even the swings in yardings aren’t shifting the price level of the market.
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?
Supply stalls and slaughter slips further
More records fell in the lamb market this week as high prices failed to draw increased numbers, showing that the winter supply shortage has well
The light lamb trade off
When lamb supply tightens enough to push prices to the extremes like we are seeing at the moment, it makes the usual decision-making all the
Onwards and upwards except for supply
High tide marks get higher as buyers are not keen to miss out on the big boy lambs still around. Its good going for those
Aussie sheepmeat hot property in Asia
Australian sheepmeat exports have steamed past their previous financial year record, with our two major markets upping the ante, and both Middle East and South-East
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.