Sheep Trends: lamb quotes increase by 10c/kg

The sheep trade is finishing 2024 and starting 2025 on a positive note, with factory agents anxious to source lambs and plants lifting quotes by 10c/kg.

The two Irish Country Meats plants in Camolin and Navan have increased their base quotes to €8.60/kg plus their 20c/kg quality assurance (QA) payment.

Kildare Chilling has also moved its base quote up 10c/kg this week and is quoting €8.60/kg plus 10c/kg QA payment.

The upward movement in quotes leaves R grading QA lambs trading from many producer groups in the region of €8.90/kg, while lambs availing of conformation bonuses are being paid at €9/kg.

A high percentage of lambs traded from individual sellers handling smaller numbers are this week trading upwards of €8.80/kg, with regular sellers and producers handling larger numbers also securing €8.90/kg to €9/kg.

There are also deals being completed at 24kg carcase weight, but this is typically confined to very large batches, with most deals negotiated at 23.5kg carcase weight.

Reports indicate there are higher numbers of heavier lambs coming on stream and finishers are being encouraged to weigh and draft lambs regularly to avoid lambs going overweight.

Supplies remain relatively tight. While last week’s kill increased by 3,638 head to reach 48,331, it remains well shy of 2023 levels, with throughput running 16,099 head or 25% lower than the corresponding week in 2023.

Year-to-date throughput is now running 370,954 head lower.

Factories are willing to handle higher numbers of ewes and rams than is the norm for the time of year to supplement throughput.

The two Irish Country Meats plants are quoting €4.40/kg for ewes, while Kildare Chilling is quoting €4.20/kg plus 10c/kg QA for better-quality ewes weighing between 35kg and 43kg carcase weight.

Deals are being completed 10c/kg to 20c/kg higher for large batches of ewes, while prices at the top end of the market in abattoirs specialising in ewes remain upwards of €4.80/kg.

Northern trade

The trade in Northern Ireland is also finishing the year strongly. There has been no significant movement in base quotes, which remain at £6.70/kg to £6.80/kg or the equivalent of €8.08/kg to €8.20/kg at an exchange rate of 82.9p to the euro.

A high percentage of groups and regular sellers have been securing returns of £7/kg (€8.44/kg), with top prices exceeding this range.

Plants are paying to 23kg carcase weight in the main, but higher allowances have been sanctioned to compete with interest from agents sourcing lambs for direct slaughter in southern plants.

Numbers exported south continue to run in the region of 40% below the norm.

Factory throughput in Northern Ireland is likely to finish the year in the region of 9% lower than in 2023, but with higher live exports to Britain and other European destinations.