Beef protests returning to the gates of Kepak Athleague and Dawn Ballyhaunis has greatly curtailed the movement of lambs off farms in the west of the country.

Both plants operated a small kill as part of the Chinese inspection visit to approve factories and grant sheepmeat access.

Apart from this, normal processing has practically ceased. Factories do not know when they will resume sheep processing and, as such, are not quoting for lamb.

Reports show a backlog also developing, with the lack of an outlet also now reported as starting to have an effect on the mart trade in the west for factory-fit lambs.

Processing of sheep in Kildare Chilling was disrupted on Monday, but recommenced on Tuesday. The plant continues to offer the highest quote and is offering a base of €4.60/kg plus its 10c/kg quality assurance (QA) bonus. The two ICM plants in Camolin and Navan were unaffected by protests and continue to offer a base of €4.50/kg and 10c/kg QA payment.

Farmers trading through groups or with greater negotiating power are securing returns of €4.70/kg to €4.75/kg for QA lambs, with top prices rising to an equivalent of €4.80/kg to €4.85/kg when bonus payments or allowances on transport are taken into account.

Meanwhile, Moyvalley Meats is offering an all-in quote of €4.60/kg and Ballon Meats is quoting an all-in price of €4.50/kg.

It is expected that this week’s kill will be significantly down on last week’s throughput of 61,942 head, which was also a reduction of over 5,000 head on the previous week.

Reports suggest there were signs of lamb drafting intensity slowing in some areas as a result of slaughter performance dipping.

Another contributor to the lower kill was the 9,555 sheep imported south for direct slaughter reducing 907 head on the previous week.

Reports suggest plants in the North are trying to condition producers for a fall in lamb prices.

Some have pointed to a cut of 5p/kg to 10p/kg, but, as yet, producers have resisted this price pressure. Quotes remain unchanged at £3.65/kg to £3.70/kg, with prices at the top of the market reported 5p/kg higher. At a sterling exchange rate of 90.3p a price of £3.70/kg equates to €4.10/kg and €4.32/kg including VAT at 5.4%.

Ewe trade

The ewe trade is steady, with Kildare Chilling back quoting and offering a price of €2.60/kg to a maximum carcase weight of 40kg. The two ICM plants are quoting €2.50/kg, while Ballon Meats continues to lead the ewe market with its quote of €2.70/kg.

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SheepWatch: slightly improved trade but factory protests affecting trade

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