Lamb trade: supply and demand finely balanced

There has been no change in the lamb trade over the last week. Supplies are finely balanced with demand and are satisfying factory appetite.

This is allowing factories to continue trading as is, with the only change in quotes recorded in Moyvalley Meats, which has lifted its all-in quote by 5c/kg to €4.95/kg.

Ballon is next up on its all-in quote of €4.90/kg, while Kildare Chilling and Kepak’s base quote of €4.85/kg is only separated by their quality assurance (QA) quote differing by 5c/kg. ICM and Dawn Ballyhaunis remain on a base quote of €4.75/kg.

A high percentage of lambs offered for sale by individual sellers are trading from €4.90/kg to €5.00/kg, with producer groups selling to €5.05/kg and a top of €5.10/kg when bonuses for U grade lambs are included.

Some plants that were trying to hold prices to €4.90/kg to €4.95/kg paid sellers €5.00/kg to move lambs in difficult conditions early this week, while others are handling higher numbers from Wednesday to Friday to compensate for lower throughput at the start of the week.

Plants are still resolute in their stance on limiting payment to 22.5kg carcase weight. There are a limited number of sellers securing 23kg carcase weight, but where this is occurring, price is often 5c/kg lower.

Last week’s kill was recorded at 67,581 head, an increase of 1,196 on the week previous. Lamb throughput varied by just 775 head, while the ewe and ram kill lifted by 404 head to 9,658.

The number of lambs imported from the North for direct slaughter was not available on Wednesday, but reports suggest it did not vary greatly (9,930) on the week previous and may be slightly lower.

Throughput in northern plants and marts has also been affected by snow and icy conditions over the weekend, with plants increasing activity since.

This is in contrast to last week’s kill which increased by 211 to 9,718.

Quotes are steady at £3.90/kg or the equivalent of €4.43/kg at 88p to the euro and €4.67/kg when VAT at 5.4% is included.

British lamb prices are relatively unchanged, with the AHDB reporting a slight increase of less than 1p/kg to average £3.97/kg (€4.75/kg). Prices of £4.05/kg to £4.10/kg (€4.85/kg to €4.91/kg incl VAT) have been reported at the top of the market.

Firm ewe trade

The ewe trade remains solid, with Ballon Meats increasing its quote by 10c/kg to €2.80/kg. All the other plants remain on a quote of €2.70/kg, with top prices paid ranging from €2.90/kg to €3.00/kg. Carcase weight limits vary from 40kg to 46kg.

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