A poor kill-out in lambs remains a significant concern among producers.
The general consensus among many farmers experiencing issues is lambs killing 2% to 3% below the norm.
The most concerning reports are with strong ram lambs killing back to 40% and lower in cases.
Procurement agents are advising farmers to take greater control when drafting, especially where drafting lighter lambs and there is a risk of falling below 17kg carcase weight.
The higher number of light lambs in the kill profile is leading to some plants that have limited markets for lighter carcases moving to penalise light lambs which are not contracted through a producer group mechanism.
Advice
Their advice where there is any doubt is to clarify payment terms before moving lambs and to err on the side of caution when drafting lambs.
Agents are keen to tie into deals for good-quality fleshed lambs killing at good weights, but are slow to loosen the purse strings.
A high percentage of lambs continue to trade from €7.20/kg to €7.30/kg for R grading lambs, with U grades and lambs traded from producers with strong negotiating power and in high quantities rising in cases to upwards of €7.35/kg to €7.40/kg.
The live trade remains steady, but there is a significant differential in prices reported depending on lamb quality.
A decent share of good-quality fleshed lambs weighing 50kg-plus continue to trade from €155 to €160, with heavy and excellent-quality types rising to €165 and over. Lambs lacking flesh or likely to kill poorly are trading back to €150 and under.
Northern trade
The trade in Northern Ireland is unchanged. The majority of plants are quoting a base of £5.90/kg. Sterling continues to strengthen and at Monday evening’s exchange rate of 83.3p to the euro, this equates to €7.07/kg.
Regular sellers and groups are securing returns of £6/kg (€7.20/kg), with agents reluctant to pass this point.
Exports remain steady, with the highest percentage of upwards of 7,000 head destined for factories in Ireland.
Reports indicate over 1,500 head continue to move to Britain, while exports to the Netherlands have ranged in recent weeks from 400 to 700 head.
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