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The spread of coronavirus combined with an increase in throughput is leading to some uncertainty entering the sheep trade.
Factories are all keen to convey a message to producers about the importance of hogget selection and timely drafting at the correct weight and fat score.
A number of factories report that demand is holding relatively steady for carcases presented at the correct weight and fat score, but comment that an increase in light carcases or under-finished hoggets is leaving volumes harder to move.
Their advice is to feed on lots lacking flesh, with purchasing for the Easter trade just a few weeks away. Where there is no option but to move sheep off farms, then the mart trade is the best option for unfinished types.
Base quotes for Thursday are mixed. Kepak Athleague and Dawn Ballyhaunis are steady at a base of €5.70/kg, while Kildare Chilling and the two Irish Country Meats plants have eased 20c/kg. Ballon Meats continues to quote €5.90/kg for this week.
A high percentage of sheep continue to trade from a range of €5.85/kg to €5.90/kg, with top prices paid to regular finishers still being recorded at €5.95/kg to €6.00/kg.
IFA sheep chair Sean Dennehy said many factories are committed to paying €6/kg to farmers for hoggets presented at the optimum weight and fat score until at least the end of the week.
The increase in numbers in the market is reflected in last week’s kill. Throughput increased by 4,062 head to reach 49,223. Ewe throughput remains low at 43,984 head, with the increase driven by more hoggets. The number of sheep imported from Northern Ireland for direct slaughter also increased from 5,935 a fortnight ago to 6,782 last week.
Quotes in NI plants are unchanged at £4.90/kg. Sterling continues to hover around 87p to the euro after weakening last week.
At Wednesday’s exchange rate of 87.6p to the euro, this equates to €5.59/kg and €5.90/kg including VAT at 5.4%.
The trade in the UK is steady, with prices reported at £5.25/kg to £5.30/kg (€5.99/kg to €6.05/kg at 87.6p to the euro and €6.32/kg to €6.38/kg incl VAT at 5.4%).
Ewe trade
Ewe quotes are all holding strong at €3.00/kg to €3.10/kg. Top prices reported as paid to farmers range from €3.10/kg to €3.20/kg, with dealers or agents negotiating higher in cases. This is reflected in their purchasing power in mart sales.
Farmers with small numbers and struggling to negotiate should weigh up which is the best sales outlet and also take account with heavy carcase ewes that some plants are only paying to 40kg carcase weight.
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