The level of success to pull sheep prices has been variable, despite significant pressure by sheep factories. This time last week, prices of €5.50/kg to €5.55/kg were paid for factory lambs, but after continuous downward pressure, farmers are now being paid lower prices of €5.30/kg to €5.45/kg including bonuses, a reduction of 10c to 20c/kg.

Producer groups are securing €5.40/kg to €5.50/kg when all bonuses are taken into account.

Factory agents attempted to pull prices even lower, but tighter supplies made this more difficult to achieve.

Farmers successfully resisted the lower quotes and negotiated higher prices, but not as high as last week’s values.

In the marts, prices have been holding strong and agents continue to be very active for lambs. With lambs being marketed lighter this year and with last week’s numbers steady at 48,666 head, meat volumes are lower than processors would like.

Official quotes have fallen by 20c/kg in most plants, but the quotes continue to range significantly, with a gap of 15c/kg to 20c/kg between the highest and lowest.

Ballon Meats holds top position with its all-in quote of €5.30/kg. Of the main export plants, Kepak Athleague is leading with its quote of €5.25/kg excluding bonuses, followed by Kildare Chilling with €5.20/kg excluding bonuses.

Irish Country Meats slashed its quote this week by 20c/kg to a base of €5.10/kg, sticking to the trend of holding bottom place in the quotes table.

IFA national sheep committee chair John Lynskey said sheep farmers are resisting pressure on lamb prices from the factories.

He said that, in the UK, prices are ranging from the equivalent of €5.35/kg to €5.55/kg, according to the AHDB.

UK mart prices are £2.10/kg (liveweight), which is the equivalent of €5.34/kg including VAT (deadweight). Factory prices in the UK are higher, reported at £4.66/kg for 15 July, equivalent to €5.58/kg including VAT.

Cull ewes

A total of 8,796 ewes and rams were slaughtered last week, a decline of 1,208 head on the same period in 2016.

Prices are very strong, with €2.80/kg to €2.95/kg being paid. Carcase weight limits vary from 40kg to 43kg.

Kepak has increased its quote for ewes by 15c/kg to a base of €2.75/kg, with all other processors on a base of €2.70/kg.

NI

In the North, quotes have fallen by 5p/kg to a base of £4.25/kg (equivalent of €5.09/kg including VAT). Farmers are securing prices of £4.30/kg (equivalent of €5.15/kg including VAT).

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