There is a wider differential evident this week between opening prices offered to individual sellers with lower negotiating power in some plants and prices being paid to regular sellers trading at the top end of the market.
Official base quotes continue to be hard to come by, with the two Irish Country Meats plants in Camolin and Navan quoting €7.20/kg for quality assured (QA) lambs, similar to the quote in Ballon Meats.
Reports indicate a similar base quote is being offered in Dawn Meats Ballyhaunis for QA lambs, while Kepak is operating at €7.30/kg and Kildare Chilling 10c/kg higher.
The lower quotes are in sharp contrast to top prices ranging anywhere from €7.40/kg to €7.60/kg being paid to sellers trading at the top end of the market.
The situation is leaving producer groups increasingly despondent at the current payment terms, with groups operating in the region of €7.30/kg to €7.40/kg.
Producer group co-ordinators state the situation is leaving it harder to manage groups, with some producers refusing to market lambs through the group and opting to sell live.
Throughput is steady at a low level, with last week’s kill recorded at 47,568 head. This is slightly ahead of the corresponding week in 2023, but when you look beyond the fact that it was a four-day week, it is clear that numbers are much tighter.
The kill figure in 2023 was a reduction of almost 10,000 on the previous week, with throughput bouncing back the following week.
However, the same is not happening in 2024, with throughput in recent weeks ranging from just 45,000 head to 48,000 head.
The net effect is the lamb kill now running over 80,000 head lower. This is in addition to almost 84,000 fewer hoggets killed and over 22,000 fewer ewes and rams, with the kill figure approaching nearly 190,000 head lower.
A small number of hoggets remain in the kill, with 394 recorded last week. Factories are not quoting, but agents are quick to buy any hoggets presented in sales.
The strong appetite for cull ewes and rams and intense competition in live sales is helping demand for hoggets.
Cull ewe quotes are unchanged, averaging €4/kg in the majority of plants and a top of €4.40/kg in Ballon Meats.
Northern trade
Quotes in Northern Ireland have firmed by 10p/kg to a base of £6.20/kg for Thursday. This is the equivalent of €7.22/kg at 85.8p to the euro.
Regular sellers are also securing significantly higher, with prices 10p/kg to 20p/kg higher.
Agents purchasing on behalf of southern plants continue to compete strongly, with buyers purchasing for factories in Northern Ireland and for export to Britain.
The number of sheep exported for direct slaughter last week increased by about 900 head to 5,793.
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