Base quotes for lambs have fallen by 30c/kg to 50c/kg in the space of a week.

Quotes were cut by 20c/kg to 30c/kg on Monday and have suffered another 10c/kg to 20c/kg cut for Thursday. This equates to a cut of €6 to €10 on a 21kg carcase.

Kildare Chilling has fallen by the greatest level, with its base quote of €6.50/kg plus 10c/kg quality assurance (QA) payment down 20c/kg since Monday and 50c/kg week on week.

The two Irish Country Meats (ICM) plants in Camolin and Navan are quoting €6.40/kg plus 20c/kg QA since the start of the week and 30c/kg over the week.

Other plants not quoting are reported at €6.50/kg, while Ballon Meats is at €6.70/kg all in.

Lamb prices in the early part of the week were in the region of €6.70/kg to €6.80/kg, with some groups and regular sellers securing 5c/kg to 10c/kg higher.

The latest cuts have seen prices offered for Thursday and Friday reduce to €6.60/kg to €6.70/kg on average, with groups and regular sellers securing €6.80/kg and slightly higher in cases for U and E grading lambs.

Factories are blaming deteriorating market conditions for the consecutive price cuts.

They continue to highlight supplies of British lambs and lower-priced New Zealand and Australian lamb as reducing their competitiveness in European export markets.

Agents highlight that high numbers of light-carcase lambs are compounding challenges in marketing product. This situation is not surprising, given producers are anxious about prices falling and moving lambs at lighter weights.

This is always a feature of the trade at this stage of the year, but some factories say the situation is considerably worse at present, with some cautioning as to cuts on underweight and under fleshed carcases.

Current carcase upper weight limits range from 21kg to 21.5kg.

Last week’s sheep kill fell by 1,763 head to 50,962. The hogget kill represents a small percentage of throughput, with over 1,000 head slaughtered last week.

ICM continues to quote a price of €5.80/kg plus 20c/kg QA for hoggets meeting the desired specifications.

Ewe quotes remain under pressure at a base of €2.90/kg. Kildare Chilling comments that it is cutting boner-type ewes back to €2.50/kg, while reports indicate another plant in the west is trying to bring ewe prices back to €2.70/kg.

Northern Ireland

Producers in Northern Ireland are facing an equally challenging trading environment, with quotes cut by 30p/kg to 35p/kg (€6.13/kg to €6.19/kg) to £5.25/kg to £5.30/kg (€6.13/kg to €6.19/kg).

Northern producers do not receive the same flat rate top-up worth 5% that farmers unregistered for VAT in Ireland receive.

Plants are trying to bring prices back in line with quotes and are limiting higher quotes to 5p/kg to 15p/kg.