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The level of competition for hoggets and ewes remains at a very high level, with supplies failing to satisfy appetite. The price increases of recent weeks are helping to attract numbers forward, with last week’s kill running 6,422 head above the corresponding week in 2019, while total throughput for the year to date is up 34,101 head.
However, despite the much stronger trade, with prices running 60c/kg to 70c/kg above 2019 levels, throughput continues to reduce.
Last week’s kill reduced marginally by 785 head and was recorded at 45,161. This consisted of 39,255 hoggets and 5,906 ewes and rams and follows a reduction of 4,190 head in the previous week.
Quotes continue to creep upwards and range from €5.70/kg to €5.80/kg.
Prices paid continue to exceed quotes, with a high percentage of hoggets trading from €5.90/kg to €6.00/kg.
Factories are trying to curtail prices at €6.00/kg, but this stance has been breached in cases, with regular sellers and dealers handling big numbers securing an extra 5c/kg to 10c/kg.
The mart trade is also electric and sellers struggling to negotiate with factories should weigh up the best sales outlet.
Reports indicate the strong price is also encouraging producers to present ewe hoggets that might otherwise have been retained until autumn breeding sales.
Factory agents are not getting it all their own way where ewe lambs are being presented in marts though, with farmers also in the market for good-quality types.
The ewe trade in marts has also strengthened, with prices for large-framed heavy ewes ranging from €120 to €135. Factory quotes have increased to €3.00/kg. Producers with significant numbers and offering ewes alongside hoggets are negotiating prices of €3.20/kg to €3.30/kg, with agents in many cases exceeding this range.
Northern trade
Quotes in the North have increased to £4.80/kg or the equivalent of €5.71/kg at 84p to the euro and €6.02/kg including VAT at 5.4%.
Top prices are rising to £4.90/kg to £4.95/kg (€5.83/kg to €5.89/kg and €6.15/kg to €6.20/kg VAT inclusive at 5.4%).
The northern hogget kill increased 812 head to 6,667, while there were 701 ewes and rams killed.
The cumulative kill at 63,265 head is running over 15,000 head above 2019 levels. Agents purchasing on behalf of southern plants are adding to competition levels. There were 7,925 sheep imported last week from Northern Ireland for direct slaughter.
After two consecutive weeks of prices rising 25p/kg, upward momentum in the British trade has slowed. The latest AHDB price report shows prices rising 9p/kg, leaving R grading hoggets averaging £5.35/kg (€6.37/kg and €6.71/kg incl VAT).
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