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Hogget prices have been increasing rapidly over the past week. Easter is approaching fast now and factory agents are working hard to fill orders in advance of this. Prices of €5.50/kg to €5.70/kg are very much attainable, with increases of 20c to 30c/kg common compared with last week.
Farmers and feeders with fleshed hoggets ready to go should watch the market very closely. Prices can change on a daily basis now and the outlook is positive heading into next week.
In terms of quotes, there has been some upward movement, highlighting that factories are finally loosening the purse strings leading up to Easter. Increases of 10c to 20c were apparent this week, with current base quotes ranging from €5.20/kg to €5.40/kg, excluding bonuses.
A common issue we have been hearing from factory agents of late is the number of hoggets being presented for sale that are overweight. One factory agent said he has more hoggets killing out over 25kg than he has under 22kg. With weight limits in the majority of factories at 23kg to 23.5kg, it makes no sense to allow hoggets to go beyond those limits, because there is no payment for doing so. Agents are pleading with farmers to weigh hoggets regularly and sell when they are fit to go.
Numbers of spring lambs have been on the increase, but remain very small (under 500 head weekly).
Interestingly, Moyvalley has reduced its quote for spring lambs by a massive 50c/kg. It is now offering an all-in quote of €6.50/kg for lambs.
Irish Country Meats has held its spring lamb quote steady at €6.00/kg (plus 10c QA).
IFA national sheep chair Sean Dennehy said very few new-season lambs had moved and farmers would need a price equivalent to €140 to €150 per head.
Northern Ireland
In the North, there has been a significant lift in hogget prices of 30p to 35p/kg this week, with farmers securing £4.50/kg for their hoggets (equivalent of €5.57/kg including VAT at 5.4% at an exchange rate of €1=£0.85). Prices have also taken off in the UK, with lambs making an average price of £4.38/kg (equivalent of €5.43/kg including VAT). These prices are up 15c/kg since last week.
Cull ewes
Farmers are securing prices of €2.80/kg to €3/kg and higher for ewes, with demand particularly strong recently. That said, there was some more movement on cull ewe quotes, some positive and some not so positive. Kildare Chilling increased its quote for ewes by 10c/kg to reach a base of €2.90/kg (plus 10c QA). Irish Country Meats, on the other hand, reduced its quote by 10c/kg and is now on a base of €2.70/kg. Kepak is holding steady with its quote of €2.80/kg.
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