The sheep trade has been solid over the last week, with quality assured (QA) lambs selling in the main from €8/kg upwards, while hoggets are averaging from €7.40/kg to €7.50/kg.

However, lamb quotes for Thursday are facing some downward pressure.

The two Irish Country Meats plants in Camolin and Navan have reduced their quotes by 20c/kg to a base price of €7.60/kg plus the plants’ 20c/kg QA payment.

Kildare Chilling is not quoting for lamb, but reports indicate the plant is not paying any lower for lambs, with similar reports also present for Dawn and Kepak, with reported base quotes in the region of €7.80/kg to €7.90/kg.

The situation is leaving producer groups trading lambs on a payment mechanism of the average of quotes frustrated, with a number voicing irritation at the continued stance from groups in the west not to offer a quote.

The success of any price pull will be influenced strongly by numbers coming on stream and the level of competition present.

Factory agents are demonstrating keen demand, with mart prices unchanged.

Last week’s kill was recorded at 47,048 head, marginally down on the week previous.

This included 15,565 lambs and 25,936 hoggets. The lamb kill is 3,529 head lower year on year, reflecting lower numbers in the system, with the hogget kill running 2,601 head higher than the corresponding week in 2022 and compensating somewhat.

Hogget demand

Demand for hoggets is unchanged. Kildare Chilling is leading prices, with its base quote of €7.20/kg plus its 10c/kg quality assurance bonus.

Producer groups and regular sellers are securing returns at the higher end of the market of €7.40/kg to €7.45/kg, with top prices rising above €7.50/kg for very large consignments.

Such prices now seem to be largely confined to specialist finishers. The mart trade remains a good alternative outlet for producers struggling to deal directly on price with factories.

Northern trade

A significant differential has opened up between plants in Northern Ireland.

Dunbia is quoting £6.70/kg for lambs compared with Linden’s quote of £6.55/kg.

The differential is even greater for hoggets, with Linden’s quote 40p/kg lower than the base quote of £6.40/kg offered by Dunbia.

Last week’s sheep kill was recorded at 7,528, an increase of about 1,500 head on the previous week, which included one day’s less processing.

The number of sheep exported south for direct slaughter was recorded at 3,602 head, over 1,000 head lower on the previous week.

Year-to-date exports for direct slaughter are running 6,000 head higher, while the number of sheep exported to farms, at 38,210 head up to the end of May, is running about 10,00 head higher.