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The sheep trade is solid, with lamb supplies tighter this week and helping to keep a good floor under the trade.
Lamb performance in parts of the country worst affected by drought has come under pressure and has slowed lamb drafting down, with factory agents advising farmers to be mindful of liveweight and fat cover, with some lambs on a grass-only diet starting to show the effects of tighter supplies.
Farmers busy at field work along the western coast and northern half of the country has had the same effect in slowing drafting. Quotes have eased 10c/kg in cases on last week’s levels, with base quotes ranging from €5.60/kg to €5.70/kg.
Sellers trading on their own merit are securing returns of €5.75/kg to €5.90/kg, while producer groups and those handling large numbers are securing top prices of €5.90/kg to €6.00/kg.
Some factories comment that sales of roasting cuts are not being helped by the current heatwave.
Last week’s kill was recorded at 57,926 head, an increase of 2,546 on the previous week and similar to the corresponding week in 2017. However, there is considerable differences to the 2017 kill, with the lamb kill, at 45,459 head, running 3,955 head lower, while total lamb throughput is running 54,683 behind 2017 levels.
This shortfall is being balanced by higher hogget and ewe and ram throughput, both of which remain well ahead.
Last week’s hogget throughput was recorded at 3,609, but numbers continue to fall off. This, combined with tighter supplies of ewes and rams, has seen factories becoming much more active for ewes in a bid to underpin tight lamb supplies.
This is reflected in ICM increasing its ewe quote by 10c/kg, while Kepak has lifted its quote by 15c/kg and is offering the top price of €3.15/kg. Top prices range from €3.10/kg to €3.25/kg, depending on the plant purchasing. Last week’s ewe kill was recorded at 8,848, with total ewe and ram throughput up 38,125 head.
Plants are also keen to maximise numbers coming south from Northern Ireland. The number of sheep imported last week was recorded at 7,738 head, much higher than previous weeks’ levels.
Reports indicate agents purchasing for southern plants are underpinning the trade.
Quotes in northern plants are £4.65/kg or the equivalent of €5.29/kg at 88.1p to the euro and €5.56/kg including VAT. Plants are having to pay 5p/kg to 10p/kg higher.
IFA national sheep chair Sean Dennehy said farmers are resisting price pressure, with €5.90/kg common and some farmers getting €6.00/kg.
He said: “Prices worldwide are the highest they have been for some time and there doesn’t seem to be anything on the horizon to upset this trend.”
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