A price gap of almost 70p/kg exists on factory prices for fat lambs and hoggets processed on either side of the Irish Sea in 2024.
From January to the end of July, official reports show factory prices have averaged 690.3p/kg in NI compared to 758.6p/kg paid by abattoirs in Britain. That price gap is worth just over £14 on a 21kg lamb carcase, although at its peak, the differential exceeded £30 on new season lambs.
Exports
Higher prices in Britain are ultimately the result of an undersupply of slaughter fit sheep in 2024.
In an effort to bridge the shortage within the supply chain, buying agents for processors and wholesalers based in Britain have maintained a strong ringside presence in NI marts this year.
With a clear price advantage in favour of abattoirs in Britain, exports of slaughter fit sheep from NI to Britain have increased by 93% from January to July compared to the same period last year.
During the first seven months of 2024, exports to Britain have totalled 122,053 head, almost double the 63,270 animals shipped last year and a 55% increase on 2022 levels.
The vast majority of these sheep are being exported to farms in Britain, rather than to direct slaughter.
In total, 110,632 animals have moved to farms, before being processed at a later date.
That compares to only 11,421 sheep which have moved directly from NI to slaughter in Britain. However, at the same stage in 2023, this equivalent figure stood at just 280 sheep.
Ireland
Exports of NI sheep to the Republic of Ireland are also higher year on year.
Sheep moving for direct slaughter have increased by 7.2% to 182,703 head.
Factory prices in the Republic of Ireland have averaged 680.3p/kg over the first seven months of the year, putting the value of a 21kg carcase around £2 below the equivalent figure in NI.