Falling margins from early lamb production have seen a significant shift to later lambing in recent years. Easter has traditionally provided a temporary window for producers to at least target getting a draft of lambs away at a higher price.
Even this short-lived window has not materialised in 2017, with more producers likely to once again reassess their position with returns 40c/kg to 50c/kg behind 2016 levels.
Meat processors will no doubt argue that market conditions are more difficult in 2017, with a higher carryover of hoggets and Easter’s date falling three weeks later, bringing more lambs on to the market.
This is little solace to producers who have invested heavily to provide a premium product. It once again raises the issue of how committed meat processors are to maintaining a year-round supply.
An increasing move to mid-season lambing is raised as a challenge for the sheep sector, but it is easy to see why in the absence of a longer-term strategic plan and producers taking on all the risk.
The importance of such a plan is increased in light of Brexit, currency fluctuations and trade deals with New Zealand.
Read more
Anger at low spring lamb prices
Sheep prices: hogget quotes under pressure
Falling margins from early lamb production have seen a significant shift to later lambing in recent years. Easter has traditionally provided a temporary window for producers to at least target getting a draft of lambs away at a higher price.
Even this short-lived window has not materialised in 2017, with more producers likely to once again reassess their position with returns 40c/kg to 50c/kg behind 2016 levels.
Meat processors will no doubt argue that market conditions are more difficult in 2017, with a higher carryover of hoggets and Easter’s date falling three weeks later, bringing more lambs on to the market.
This is little solace to producers who have invested heavily to provide a premium product. It once again raises the issue of how committed meat processors are to maintaining a year-round supply.
An increasing move to mid-season lambing is raised as a challenge for the sheep sector, but it is easy to see why in the absence of a longer-term strategic plan and producers taking on all the risk.
The importance of such a plan is increased in light of Brexit, currency fluctuations and trade deals with New Zealand.
Read more
Anger at low spring lamb prices
Sheep prices: hogget quotes under pressure
SHARING OPTIONS: