The challenges which marts and their customers faced in 2020 due to coronavirus is well documented.

The effect of disruption to sheep sales was lessened by the fact that the trade performed significantly above 2019 levels, with lamb prices running €7 to €10 higher across the year.

Finished lamb prices averaged in excess of €105 across the year and in comparison to recent years only dipped below the €100 mark for a short period of time.

Prices in normal sales were at a lower average price of €175 to €185, but also recorded a €20 increase on 2019 levels

However, the highlight of sales in 2020 has to be the vibrant trade for replacement ewe lambs, hoggets and ewes. Prices were recorded at a level that had not been witnessed for over a decade, with the main season sales period also lucky to take place after the first lockdown and during a period where buyers and sellers were permitted ringside.

Breeding hogget prices averaged around the €200 mark in special sales, with prices recording a €20 to €25 increase on 2019 levels. Prices in normal sales were at a lower average price of €175 to €185, but also recorded a €20 increase on 2019 levels.

It will be interesting to see the effects this has on breeding ewe numbers in 2021

A significant feature of breeding sales was the strong demand evident for ewe lambs with breeding potential. Special sales were again to the fore, with prices averaging from €140 to €150, which represents an increase of €15 to €20 on 2019 levels. This level of increase did not follow through to the trade for ewe lambs on offer in normal weekly sheep sales, with prices increasing by €5 to €8 on average. But, a standout feature of these sales was the increased appetite for ewe lambs.

It will be interesting to see the effects this has on breeding ewe numbers in 2021.

Many in the industry had anticipated that the higher prices paid for ewe lambs would require them to be retained until breeding sales in 2021 to have a better opportunity of returning a margin, but the higher farmgate factory price is providing the potential for lambs to be drafted for slaughter and a margin to be realised.

If prices continue to rise, it is likely that higher numbers of average-quality ewe lambs will come on to the market, which would be positive for breeding sale prospects in 2021.

2021 trade environment

It is likely that mart sale restrictions will remain for quite some time and should current coronavirus cases continue to increase, it would not be unrealistic to see a return to online-only trading for a period. The first quarter of 2021 is likely to be a solid trade, so even if this was to materialise it should not have any negative effect on prices paid.