While markets held steady at the start of the week, factories are trying to pull prices back.

Dawn Ballyhaunis, Kepak and Kildare Chilling have reduced base quotes by 10c/kg to €5.40/kg, while Irish Country Meats (ICM) has eased its base quote by 20c/kg to €5.30/kg. Moyvalley increased its quote 10c/kg and is well out in front at €5.70/kg.

Last week’s kill increased 8,607 head to reach throughput of 49,212. The driver of this lift was spring lambs increasing 8,217 head to 22,898.

However, many factories comment that it is market conditions rather than a lift in supply that is putting the most pressure on the trade.

The pull in prices is being swiftly introduced, with many sellers still having success in negotiating €5.70/kg to €5.80/kg for lambs on Tuesday and Wednesday.

Reports suggest plants are trying to pull top prices paid to €5.60/kg to €5.65/kg.

With prices easing, weight limits are becoming a greater focus to compensate for lower returns. Many plants have lifted their carcase weight limit to 21kg, but some are holding firm at 20.5kg.

Hogget supplies are diminishing, although reports suggest there are still some large-scale finishers with very significant numbers on hand. Prices range anywhere from €5.15/kg to €5.30/kg, with sellers facing difficulties negotiating higher.

Northern trade

The northern market has also come under pressure, with quotes falling 5p/kg to 10p/kg (7c/kg to 13c/kg). This leaves prices quoted ranging from £4.10/kg to £4.15/kg (€5.60/kg to 5.66/kg) including VAT.

Last week’s kill at 4,582 head remains steady, but is showing the impact of a late spring, with year-on-year throughput for the comparable week down about 1,000 hoggets and lambs.

French market

Irish lamb was reported as trading at €5.70/kg earlier in the week and facing competition from higher volumes of UK lamb appearing.

Demand slipped slightly, with inclement weather over the Pentecost bank holiday weekend impacting on sales.

French Lacaune lamb prices have reduced from €5.30/kg to €5.15/kg, while quotes for diminishing supplies of Spanish lamb on the market range from €4.65/kg to €4.75/kg.

Lamb promotions

Bord Bia will soon be commencing a series of promotional activities to coincide with peak supplies of new-season lamb from the end of May onwards.

A television advertising campaign begins on 26 May and runs to 15 June. This will be supported by an online video campaign. This is separate to the EU-wide Lamb Tasty Easy Fun campaign beginning in May, which aims to increase consumption in Belgium, France and Germany.