The sheep trade has steadied somewhat midweek, with factories capitalising on a reported recovery in numbers coming on to the market and cooling upward price momentum.

Base quotes are in the region of €6.40/kg and this includes a 10c/kg reduction in the base quote offered by Kildare Chilling for Thursday.

Reports regarding numbers coming on stream are variable, with numbers recovering most along the western half of the country where lambing dates are typically later.

While numbers have strengthened, producers should take note that factories are more than happy to handle any extra numbers, with demand firm and concern that numbers could quickly fall off again.

As such, agents are careful not to try to change prices significantly.

Producer groups working on the average of base quotes will see a slight easing in price by merit of the lower Kildare quote.

At the top end of the market, sellers handling significant numbers and selling through groups are securing returns ranging from €6.70/kg to €6.80/kg, with carcase weights now moved to 22.5kg in almost all these deals.

Some specialist finishers and agents handling very high numbers are said to be still pushing returns to €6.85/kg to €7.00/kg.

Numbers in this bracket are low, but the strength of agents purchasing in mart sales denotes they are being well looked after to provide factories with solid numbers that take the pressure off to compete for smaller numbers.

Sellers handling smaller numbers are generally trading from €6.60/kg to €6.70/kg.

A number of mart managers have also commented (see mart comment below) that there are higher entries of lambs appearing in sales that would normally be going direct to the factory, with producers weighing up the most lucrative outlet for the type of lamb on hand.

Last week’s kill was recorded at 53,543 head, a reduction of over 4,000 on the previous week.

This sheds some light on the move by factories last week to increase prices to maintain throughput levels.

A significant contributor to lower numbers is the ewe and ram kill of 6,749 head falling by about 2,200 head.

The trade has firmed with the two ICM plants increasing their quotes by 20c/kg. There is a big variation in quotes offered by the main plants and those specialising in niche markets for heavy ewe carcases.

Prices in most factories range from €3.10/kg to €3.35/kg, while at the top of the market up to €3.50/kg to €3.70/kg has been paid for large consignments.

The trade in Northern Ireland has also moved upwards, although this is not reflected in base quotes, which are running at £5.25/kg. This is a reduction of 5p/kg in some plants and is the equivalent of €6.07/kg at 86.4p to the euro.

Producers and agents trading at the top end of the market have secure £5.40/kg to £5.50/kg this week.