The deadweight lamb trade has come under further pressure this week, with factories moving since the start of the week to pull prices by 20c/kg.

Base quotes range from €6.00/kg to €6.05/kg, leaving the trade on a par to 2021 levels for the first time this season.

Regular sellers trading at the higher end of the market and producer groups received prices ranging from €6.45/kg to €6.55/kg on Monday and Tuesday, with these prices now falling back to €6.30/kg to €6.35/kg.

Some plants are paying 0.5kg higher, while there are reports of 22kg carcase weight paid earlier in the week, but at a lower price per kilo.

Some buyers comment that there have been fewer requests from producers in negotiations to increase carcase weight limits, as lambs are killing poorly and being moved at lower weights.

The more topical consideration being discussed is potential price cuts for lambs killing underweight or under-fleshed.

Kill breakdown

Throughput remains strong and this is reflected in last week’s sheep kill recorded at 63,111 head, an increase of 3,482 on the previous week and 2,650 head higher year on year.

The kill breakdown includes 10,267 head of ewes, which is an increase of 622 head on the previous week.

Base quotes for ewes have fallen by 10c/kg and are averaging in the region of €3.30/kg.

Individual sellers are, in cases, securing 10c/kg to 15c/kg higher, while at the top end of the market, sellers are securing prices of €3.50/kg to €3.70/kg and higher in isolated cases.

Demand for well-fleshed ewes capable of delivering high-quality carcases remains firm and producers should continue to weigh up the most lucrative outlet.

Northern trade

Base quotes in Northern Ireland plants have dropped back under the £5/kg mark and range from £4.85/kg to £4.90/kg.

This is the equivalent of €5.63/kg to €5.69/kg at Wednesday afternoon’s stronger sterling exchange rate of 86.1p to the euro.

Factories have set £5/kg as the line in the sand which they are not willing to cross.

The number of lambs exported from Northern Ireland for direct slaughter in plants in Ireland was slightly higher last week at 8,026 head.

The latest AHDB price report shows British deadweight lamb prices averaged £5.36/kg (€6.22/kg) last week.

Prices have eased back this week by 10p/kg to 20p/kg, with variation across the country depending on numbers.

The average standard quality quotation liveweight (SQQL) price reported by AHDB on Monday and Tuesday eased marginally to average £2.39/kg (€2.77/kg).

Drafting concerns

Procurement agents are advising farmers to take particular care when drafting lambs, with an increasing number either falling below a carcase weight of 17kg or killing at fat class 1. They warn that where significant numbers are concerned, there will be price penalties of upwards of 50c/kg.