Factory agents have been testing farmer resolve with cuts of 20c/kg to 30c/kg implemented on lamb prices since last week.

Base quotes this week range from €7.35/kg to €7.50/kg, leaving quality-assured lamb at entry level to the market trading at €7.50/kg to €7.60/kg.

Farmers trading through groups or with greater negotiating power are receiving returns of €7.70/kg to €7.80/kg at the top-end of the market.

Factories are keen for lambs given the tight supplies in the market and reports suggest this is preventing them from moving to take a greater position of control.

The tightness in supplies is reflected in last week’s kill being recorded at 46,928 head. This is an increase of about 4,000 head on the previous week but it is over 9,000 head lower than the corresponding week in 2020.

Prices are currently running €1.60/kg to €1.70/kg ahead of 2020 levels or about €33 higher on a 20kg carcase.

Northern quotes have also reduced by 20p/kg to £6/kg (€6.98/kg) but regular supplies continue to secure 10p/kg to 20p/kg above base quotes.

Prices are running £1.30/kg higher or the equivalent of €30 per head on a 20kg carcase.