The sheep trade has burst into life in recent days, with prices paid to those trading at the higher end of the market 30c/kg to 40c/kg higher than the week previous. Regular sellers and those handling higher numbers had success in negotiating returns of €8.40/kg on Wednesday.

Factories tried to keep a lid on price at this level, but were forced to increase prices to upwards of €8.50/kg to secure sales for Thursday.

It is clear that agents have been given much more room to compete, with the live trade bursting in to life. Prices paid in many mart sales would need to be north of €9/kg or include very generous weight limits to have any hope of covering their cost.

ADVERTISEMENT

Base quotes are also struggling to keep pace with prices being paid at the higher end of the market. Ballon Meats increased its base quote by 20c/kg week-on-week to €8/kg while the two Irish Country Meats plants are quoting a base of €8.00/kg plus 20c/kg quality assurance payment (QA).

There is no hogget quote from Dawn Kildare, Ballyhaunis or Kepak Athleague, but reports suggest they are trying to open negotiations with groups and farmers with lesser negotiating power in the region of €8.20/kg to €8.30/kg.

A number of producer group facilitators comment that they are finding it increasingly difficult to secure numbers, with farmers looking at higher prices being negotiated by regular sellers and a vibrant live trade.

Last week’s kill increased by 2,000 head to just over 40,000 head, but reports indicate that numbers have tightened considerably this week. This coincided with factories exhibiting a greater demand for stock, with orders reported as being more positive and boosted by the end of Ramadan at the end of next week.

The ewe trade has also witnessed a big jump in live prices, but this has not translated in to any real movement in quotes. Ballon Meats remains top with its quote of €5/kg, with Dawn Kildare at €4.60/kg plus 10c/kg for good-quality ewes and ICM at €4.50/kg.

Northern Ireland

The trade in Northern Ireland continues to benefit from demand for lambs from three competing sources – factories in Northern Ireland, factories in Ireland and a vibrant dead and live trade in Britain. Despite factories increasing prices by 30p/kg to 50p/kg in the last 10 days, last week’s kill fell by 1,669 head to 8,666 head – the lowest level in six weeks.

Base quotes for Thursday have increased by 50p/kg to 65p/kg and range from £7.40/kg to £7.55/kg. This is the equivalent of €8.57/kg to €8.74/kg, well ahead of Ireland.

The number of sheep exported for direct slaughter in Ireland reduced by about 80 head last week to 3,678, while numbers exported to Britain for direct slaughter at 2,776 head fell by 1,758 head on the previous week. Reports indicate however, that numbers exported live under the breeding and production certificate firmed.