Red to the east, green to the west

Eastern lamb markets continued to ease this week, with even restockers pulling back. However, It was a different story in the West where fairly widespread rain provided a boost of confidence and prices for all categories of lamb and sheep strengthened.

East Coast lamb yardings responded to the slightly weaker prices of recent times by falling 5%. Throughput in Victoria and WA held steady but all other states saw a week-on-week decline.

Lamb slaughter numbers were slightly lower, dropping 2% to see 305,154 head processed for the week ending the 26th of January.

The Eastern States Trade Lamb Indicator lost 13¢ on the week to end at 835¢/kg cwt. In WA, trade lambs picked up an extra 14¢ to sit at 710¢/kg cwt. The trade lamb discount in WA to the ESTLI is currently at 17%, which is an improvement on the 28%  discount at this same time last year.

Light, Merino and Restocker lambs in WA came out on top this week, each gaining 65 to 90¢. In most eastern states these categories lost around 25 to 30¢ on the week.

Mutton markets showed strength this week, the National Mutton Indicator gained 7¢, to 638¢, but it was South Australia where demand really took off, with mutton prices gaining 42¢ to 630¢/kg cwt. The National Mutton Indicator is currently 45¢ lower than this time last year and it’s not due to higher supply.

Commodity Conversations

The week ahead….

The two week rainfall forecast by the BOM is looking very wet indeed. Nearly all of the country is looking at a 50% or greater chance of receiving above median rainfall. This (if it comes to fruition), along with the weaker eastern market, will likely put a halt on any substantial increase in supply.

Have any questions or comments?

We love to hear from you!
Print This Post

Click on graph to expand

Click on graph to expand

Click on graph to expand

Data sources: MLA, NLRS, Mecardo

Make decisions with confidence- ask about our board packs, bespoke forecasting and risk management services

Have any questions or comments?

We love to hear from you!
Sheep being herded by cattle dog
Sheep

Store sheep prices sliding

The shine has come off store sheep prices. After spending six months at historically extreme levels store lambs have eased in recent weeks, and some

Read More »

Don’t have an account with us? Join free.

You can have full premium access to all of our content with a monthly or annual subscription. 

Alternatively, create a free account to access our Insights blog and two free premium article a month!

Independent analysis and outlook for wool, livestock and grain markets delivered to you as it’s published

Commodity conversations podcast cover image, a illustration of a sheep standing on a cow's back with grain either side
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.

Photo of a farmer surrounded by Merino sheep in dusty yards
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. 

Image of harvested grain pouring into a chaser bin
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.