Despite two weeks of significantly high kills in a row, prices remain relatively steady. The kill last week totalled 62,064, down just 1,633 sheep compared with the previous week’s equally strong kill.

Total supplies of sheep from the start of the year up to 23 August surpassed 1.56 million head and is 11,438 higher compared with this time last year.

The high kill was contributed to by imports of lambs for direct slaughter from Northern Ireland, which hit 7,343. This is an increase of approximately 500 lambs compared with the previous week and continues to remain an important source of lambs for plants in the south.

Kepak Athleague lead quotes this week with a base quote of €4.65/kg, a slight easing of 5c/kg compared with last week’s price. Kildare Chilling follow with a continued base quote of €4.60/kg and ICM is the lowest this week, with a base quote of €4.50/kg. Moyvalley and Ballon are on all-in quotes of €4.65/kg and €4.60/kg respectively.

Reports suggest that farmers with big numbers of lambs have been able to negotiate above base quotes. Some farmers have secured prices of €4.70/kg to €4.80/kg on the terms of being paid to a carcase weight of 22kg.

At the top end of the market, members of some producer groups are being paid €4.90/kg for good-quality U grade lambs.

IFA National Sheep Committe chairman John Lynskey said the lamb trade is reasonably steady this week, with factories paying from €4.70 to €4.90/kg to buy lambs.

Bord Bia expects demand for lambs to strengthen in the coming weeks. As we head towards the peak season of lamb production, it says weekly throughput levels will pick up in numbers and this may have some downward pressure on prices. Nonetheless, with autumn approaching and schools reopening, together with the Muslim festival of Eid-al-Adha, which takes place in mid-September all of these should bring a welcome boost to the trade.

It remains to be seen how the 2015 UK lamb crop which has reached a seven year high – up 6% on last year –will have an impact in our main export markets.

Northern trade: Quotes in the two northern plants are now at 305p/kg. Prices eased by 5p/kg in Dunbia Dungannon, compared with the previous week. Farmers remain hopeful that the recent weakening in sterling will help improve the situation. Today’s (Wednesday) exchange rate means €1 is the equivalent of £0.73.

Cull ewe: Ballon Meats is still in front this week, with its quote for ewes at €2.70/kg. The remaining factories are quoting €2.50/kg. Reports suggest frequent sellers are securing €2.60 to €2.70/kg.