Factory agents are struggling to get their hands on required numbers, with much more activity entering the trade as the week progresses.
Reports on Wednesday point to agents contacting regular sellers to try to entice higher numbers forward.
Many sellers sensing the balance of power shifting in their favour in negotiations are digging in for higher returns, with a significant increase in the number of sellers securing returns north of €8/kg.
Some such deals are being negotiated at €8.10/kg, while at the top end of the market, some sellers handling very large numbers have negotiated €8.20/kg-plus for hoggets moving on Thursday and Friday.
The prices at the higher end of the market have opened up a greater differential between base quotes and prices paid.
The two Irish Country Meats (ICM) plants continue to quote a base of €7.60/kg plus their 20c/kg quality assurance payment, with Ballon Meats also unchanged on €7.80/kg all-in. Reports indicate that Dawn was quoting €7.60/kg plus 10c/kg QA up to midweek.
This leaves producer groups trading in the main at €7.90/kg, with some groups being paid €8/kg or the equivalent when account is taken of transport costs covered by the factory.
Groups have started voicing their frustration, with some negotiating a higher price.
Tighter supplies are reflected in last week’s kill reducing by 6,000 head to 38,052.
The ewe kill also remains tight this week at less than 4,000 head.
The general run of prices offered by factories ranges from €4.30/kg to €4.50/kg, but agents are having more success in securing higher returns, which is reflected in a sharper appetite in mart sales.
Ballon Meats and other abattoirs active for good-quality ewes are paying upwards of €5/kg for ewes delivered to tight specification, with the mart a good outlet for farmers marketing heavy ewes.
Northern Ireland
The trade in Northern Ireland continues to gain upward momentum with prices in recent weeks rising at a much faster rate than in Ireland.
Base quotes have jumped by 40p/kg this week to £6.90/kg for Thursday.
This is the equivalent of €7.97/kg at an exchange rate of €86.7p to the euro, with prices moving ahead of returns south of the border.
Regular sellers and those with greater negotiating power are securing £7/kg (€8.07/kg), with agents being looked after to ward off interest from buyers purchasing sheep for export to Britain.
The latest Agriculture Horticulture Development Board (AHDB) prices report shows hoggets averaging £7.53/kg (€8.68/kg), with prices rising this week in places to £7.60/kg to £7.80/kg and dwarfing prices paid to producers in Ireland.
Last week’s sheep kill was recorded at 10,335, with factories exhibiting a much greater appetite for sheep and actively competing with agents purchasing sheep for export to Ireland and Britain.
Factory agents are struggling to get their hands on required numbers, with much more activity entering the trade as the week progresses.
Reports on Wednesday point to agents contacting regular sellers to try to entice higher numbers forward.
Many sellers sensing the balance of power shifting in their favour in negotiations are digging in for higher returns, with a significant increase in the number of sellers securing returns north of €8/kg.
Some such deals are being negotiated at €8.10/kg, while at the top end of the market, some sellers handling very large numbers have negotiated €8.20/kg-plus for hoggets moving on Thursday and Friday.
The prices at the higher end of the market have opened up a greater differential between base quotes and prices paid.
The two Irish Country Meats (ICM) plants continue to quote a base of €7.60/kg plus their 20c/kg quality assurance payment, with Ballon Meats also unchanged on €7.80/kg all-in. Reports indicate that Dawn was quoting €7.60/kg plus 10c/kg QA up to midweek.
This leaves producer groups trading in the main at €7.90/kg, with some groups being paid €8/kg or the equivalent when account is taken of transport costs covered by the factory.
Groups have started voicing their frustration, with some negotiating a higher price.
Tighter supplies are reflected in last week’s kill reducing by 6,000 head to 38,052.
The ewe kill also remains tight this week at less than 4,000 head.
The general run of prices offered by factories ranges from €4.30/kg to €4.50/kg, but agents are having more success in securing higher returns, which is reflected in a sharper appetite in mart sales.
Ballon Meats and other abattoirs active for good-quality ewes are paying upwards of €5/kg for ewes delivered to tight specification, with the mart a good outlet for farmers marketing heavy ewes.
Northern Ireland
The trade in Northern Ireland continues to gain upward momentum with prices in recent weeks rising at a much faster rate than in Ireland.
Base quotes have jumped by 40p/kg this week to £6.90/kg for Thursday.
This is the equivalent of €7.97/kg at an exchange rate of €86.7p to the euro, with prices moving ahead of returns south of the border.
Regular sellers and those with greater negotiating power are securing £7/kg (€8.07/kg), with agents being looked after to ward off interest from buyers purchasing sheep for export to Britain.
The latest Agriculture Horticulture Development Board (AHDB) prices report shows hoggets averaging £7.53/kg (€8.68/kg), with prices rising this week in places to £7.60/kg to £7.80/kg and dwarfing prices paid to producers in Ireland.
Last week’s sheep kill was recorded at 10,335, with factories exhibiting a much greater appetite for sheep and actively competing with agents purchasing sheep for export to Ireland and Britain.
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