Factories have moved to take more control of the trade and reduce lamb prices.

Quotes were reduced by an average of 20c/kg in recent days, leaving opening quotes in the region of €7.50/kg in most plants.

There is significant variation between what some plants are quoting, with base quotes reported as low as €7.35/kg in one plant.

When quality assurance (QA) bonuses are taken into account, it leaves lambs trading at a starting point of €7.50/kg to €7.60/kg. Top prices

Producers with greater negotiating power are pushing returns to €7.60/kg to €7.70/kg, while top prices including those paid to groups are rising to €7.80/kg and slightly higher on occasion.

Factories were keen to maximise throughput on Monday and were slow to turn away any sheep.

This was partly due to reports that lower numbers are currently booked in for later in the week and fears that some farmers will forego drafting of lambs to concentrate on silage and hay.

Hoggets

Hogget throughput has also fallen off further, with numbers expected to be down to a minimum after this week.

Base quotes in all plants are now below the €7/kg mark, with prices varying anywhere from €6.80/kg to €7.30/kg, depending on the quality of hogget on offer, producer-processor relationship and numbers involved.

Producers should check before drafting hoggets with regards potential cuts where hoggets are setting teeth or carcase weights are deemed excessive.

The mart continues to be the most lucrative outlet for heavy fleshed ewes, with prices of €130 to €170 still common.

Factories are quoting €3.20/kg on average, but farmers and sellers with good negotiating power are securing returns of €3.40/kg to €3.50/kg.

Mart trade easing

Reports from mart sales on Monday suggest different classes of lambs reducing anywhere by €3 to €8 per head and as high as €10 on last week’s level.

Heavier lambs weighing 47kg upwards are trading from €150 to €160 in the main, with select lots of quality butcher-type lambs rising to the mid-€160s and in rare cases to as high as €170 for exceptional-quality lambs.

Factory-type lambs weighing 42kg to 44kg are trading in a wide differential from less than €140 to €155, with flesh cover and kill-out potential dictating prices.

Northern trade

The trade in Northern Ireland and Britain is slower to start this week due to Monday being a holiday day.

Quotes for Tuesday are in the region of £6.20/kg or the equivalent of €7.21/kg at 86p to the euro. Top prices are 10p/kg higher (€7.33/kg).

Competition between agents purchasing on behalf of northern and southern processing plants remains firm, with the mart trade continuing to benefit most.