Texts sent out on Friday to farmers from factories showed that quotes ranged from €5.40/kg to €5.60/kg, depending on the processor. Compared to last week’s price of €6/kg, a cut of 40c/kg equates to a farmer almost over €8 on each 21kg carcase lamb. Time will tell if processors are successful in implementing the price cuts with farmers expected to put up stiff resistance to the planned cuts.

IFA Sheep Committee chairman John Lynskey expressed concern with the cuts.

“It certainly is worrying that we are seeing a drop in the price so early in the season,” Lynskey said.

“If you look back at 28 May last year the prices being quoted were €6.10/kg to €6.15/kg. We’re nearly at that same date this year and we’re well short of that. There’s no need to scaremonger but it is a bit worrying that to see price cuts the third week of May.

"There is still a demand for factory-fit lambs and there has been a scarcity of factory-fit lambs recently due to the lack of grass. Factories have been looking for R3 and U3 lambs so, overall, it's surprising to see such a cut," Lynskey added.