Factory agents have become more cautious in their purchasing behaviour as the week progresses.

On one hand, there is continued pressure on prices, with base quotes reducing by 10c/kg to 20c/kg at the start of the week to €7.30/kg to €7.40/kg.

However, on the other hand, factories are gearing up for what is likely to be their busiest week of the year and are keen to entice lambs forward and not lose out on any potential deals.

Some agents comment that they are unsure where supplies are going to materialise from given the massive jump in throughput that is likely to be required, combined with a reduction in price easing numbers coming on stream.

To put this in context, throughput in the week leading into the Eid al-Adha festival in 2021 was recorded at almost 78,000 head.

Last week’s throughput fell by almost 2,000 head to 50,887. This included 41,770 lambs, which is 6,044 head below the corresponding period in 2021.

Hogget throughput of 2,694 is running 2,155 head higher, which is compensating slightly, while ewe and ram throughput of 6,423 head is similar week on week and year on year.

Hogget throughput for the year to date is over 195,000 head higher, with the lamb kill running over 50,000 behind 2021 levels.

On the ground

Some plants are sticking hard to base quotes and paying individual sellers not trading in groups from €7.40/kg to €7.50/kg for quality assured (QA) lamb, with groups and sellers trading at the higher end of the market securing an extra 5c/kg to 10c/kg.

Wholesale buyers are having to give more to secure the type of lambs they are looking for.

The ewe trade is solid, with base quotes unchanged at an average of €4/kg.

Individual sellers are securing returns of €4.10/kg to €4.15/kg, with sellers handling large numbers and trading at the higher end of the market trading anywhere from €4.20/kg to €4.40/kg.

Producers should continue to assess the type of ewes on hand, with the mart trade a better outlet for heavy and large-framed ewes that will be limited by carcase weight limits ranging from 43kg to 46kg in factories.

NI and British trade

Producers in Northern Ireland have been subject to the same price pressure, with plants pulling quotes by 20p/kg on the week to £6.00/kg.

This is the equivalent of €6.94/kg at an exchange rate of 86.4p to the euro.

Reports materialising on Wednesday point to agents having to increase prices to compete with agents purchasing lambs for exporting south for direct slaughter.

The number of sheep exported south last week was recorded at 4,845, an increase of about 300 head on the previous week.

The trade in Britain has strengthened in recent days, with prices regaining some lost ground and reported as ranging from £6.30/kg to £6.40/kg (€7.29/kg to €7.40/kg).