This week’s sheep trade is in a stronger position, although this is not reflected in factory quotes for Thursday.

Quotes remain unchanged at a range of €4.90/kg to €5.10/kg, but agents have been given more leeway to pay higher for large groups of lambs.

Kildare Chilling continues to set the pace at a base of €5.10/kg plus 10c/kg quality assurance (QA) bonus, while all that separates Dawn Meats and Kepak’s €4.95/kg base price is the latter’s 5c/kg higher QA bonus of 15c/kg. The two ICM plants remain on €4.90/kg plus 10c/kg QA.

However, it is clear that factories are keen to maintain the kill in excess of 60,000 head and agents are having to work harder to secure similar numbers.

This is where higher prices are being given, with regular sellers and groups securing 5c/kg to 10c/kg higher and returns ranging from €5.25/kg to €5.35/kg on average.

Some factories are increasing the base price offered to groups in an attempt to attract higher numbers, while there are isolated reports of €5.40/kg being paid to secure large batches of upwards of 70 to 80 lambs.

There are very few lambs trading below a price of €5.10/kg, with individual sellers also having more success in negotiating 5c/kg higher and typical prices for QA lambs traded by individual sellers with lower negotiating power ranging from €5.15/kg to €5.20/kg.

Negotiate on weight

There is also more scope to negotiate on weight, with a carcase weight limit of 22kg being negotiated more freely.

The higher carcase weight limits are generally being offered to appease price demands. A number of factories are trying to stick to 21.5kg carcase weight, but this stance is weakening and there are reports of some moving to 22kg carcase weight next week.

Agents purchasing in Northern Ireland on behalf of southern plants are also said to have been very active over the last week.

The number of sheep imported south for direct slaughter in the last week is in the region of 8,000 head, which is similar to recent weeks.

Northern plants are also paying producers and agents supplying higher numbers more to ward off this interest and secure sales.

Quotes remain in the region of £4.35/kg or the equivalent of €4.81/kg at 90.3p to the euro, with sellers and groups trading at the higher end of the market securing 10p/kg to 15p/kg higher.

The live trade is strengthening as the week progresses and reports suggest some sellers who cannot negotiate the higher prices on offer with factories are choosing to show sheep in mart sales.

Factory quotes for ewes are all at €2.50/kg, with a high percentage of ewes trading from €2.60/kg to €2.70/kg. Sellers should check paid carcase weight limits before trading heavy ewes likely to kill in excess of 40kg carcase weight.