Prices paid to farmers have varied since base quotes were reduced. The majority of farmers are securing €5.45/kg to €5.60/kg for their lambs. Some frequent sellers and producer groups were reportedly securing even higher as the week progresses.

Dawn Ballyhaunis top base quotes at €5.40/kg, with the rest at €5.30/kg for lambs. Demand is certainly there at the moment for lambs, but factories are very reluctant to allow prices rise from where they are currently.

As reported below in SheepWatch, factory agents are actively looking for lambs now. Some farmers are successfully negotiating higher deadweight limits of 21kg rather than 20.5kg in an effort to compensate for lower returns. Buying is expected to start next week ahead of the Ramadan festival on 7 June. This will add another dimension to the trade and help counteract any downward pressure on prices over the next week.

The hogget kill has fallen radically again this week by 8,827 head, and the lamb kill continues to strengthen, standing at 30,545, up 7,647 head.

The switchover from hoggets to lambs is helping to focus attention on promoting spring lamb exclusively. In the UK, reports suggest that larger retailers are switching to spring lamb entirely. This may help underpin the domestic UK market and help reduce the quantity of UK lamb exports competing with Irish supplies in France.

IFA national sheep committee chair John Lynskey said lamb supplies are tighter this week and the factories are very anxious for lambs. He said factories are paying from €5.50/kg to tops of €5.70/kg, with €5.60/kg to €5.65/kg most common. He said weights are also continuing to rise, with most factories on 21kg carcase weights and some doing individual deals above this level.

Northern trade

The northern kill has increased by 1,154 head last week at 5,737. But this is still considerably lower than the comparable week last year, down 1,493 head. This highlights the impact of a cold and wet spring.

Quotes are falling considerably, down 30p/kg at £3.85/kg including VAT.

Northern Ireland continues to be a strong supplier of sheep meat for southern plants, with 4,384 head crossing the border last week for direct slaughter.

French market

Irish lamb in France fell by 10c/kg last Monday and is now trading at €5.60/kg. Supplies of French Lacaune lamb and Spanish lamb are still plentiful and is fuelling the competition.

French Lacaune lamb prices have reduced from €5.15/kg to €5.10/kg, while Spanish lamb is selling for €4.60/kg to €4.70/kg. Bord Bia is starting a series of promotional activities to coincide with peak supplies of new-season lamb from now onwards.