The appetite shown by factory agents for sheep has jumped in the last 24 to 48 hours, as plants start to fill orders for the Islamic religious festival of Eid al-Adha.
The festival takes place from 28 June to 2 July, with the greatest demand witnessed in the week leading up to the event.
Some plants are said to be considering processing on Saturday to handle higher numbers.
Base quotes are unchanged, with reduced purchasing activity from live exporters in the last two days easing competition.
Quotes remain at €7.60/kg in the two Irish Country Meats plants in Camolin and Navan, along with the plants’ 20c/kg quality assurance (QA) payment.
The quote is similar in Kildare, with a base of €7.70/kg plus its 10c/kg QA payment, while Ballon Meats is quoting an all-in price of €7.70/kg.
There is little variation to plants not offering an official quote, with prices in the main ranging from €7.80/kg to €8.00/kg.
The potential for upward movement in prices will be strongly influenced by numbers coming on stream.
Throughput ahead of Eid al-Adha averaged over 75,000 head in recent years. Tighter lamb supplies are reflected in last week’s kill, which totalled 52,501 head.
Lamb throughput of 37,200 head was 5,398 lower than the corresponding week in 2022, with year-to-date throughput almost 46,000 head lower.
Higher hogget throughput is compensating, with last week’s hogget kill of 9,294 head running 5,524 higher. This leaves throughput some 70,000 head higher than in 2022.
Ewe throughput remains largely unchanged at 6,000 head.
Base quotes remain variable, ranging from a low of €3.30/kg to a high of €3.60/kg. A high percentage of ewes are trading within a price range of €3.40/kg to €3.60/kg, with select deals rising to €3.70/kg and higher on occasion for niche market demand.
The mart trade has been more variable this week (see comment below), but producers should continue to weigh up the best market outlet.
Northern trade
Factories in Northern Ireland have moved to reduce prices, with base quotes for Thursday reducing by 10p/kg to a base of £6.25/kg.
The recent increase in the value of sterling to the euro remains and at Wednesday afternoon’s exchange rate of 85.8p to the euro, this equates to €7.28/kg excluding VAT.
Producer groups and regular sellers are securing 10p/kg to 15p/kg higher, with top prices still hitting £6.50/kg (€7.57/kg).
This is becoming harder to secure as the week progresses, with pressure on prices in Britain (£6.55/kg) having an influence.
The number of sheep exported south for direct slaughter last week rebounded at just over 4,000 head. Throughput in northern plants fell by about 500 head to just over 8,000.