Sheep prices remain reasonably steady, despite further reductions in quotes. Most farmers are securing €4.65/kg to €4.70/kg for quality assured (QA) lambs. Some farmers are negotiating €4.75/kg for large numbers of lambs and groups are securing up to €4.80/kg.

However, quotes have taken another hit in all the factories. Irish Country Meats remain at the bottom at €4.50/kg (+10c QA). This is down 5c/kg on last week.

Both Kepak and Kildare have reduced their quotes by 5c/kg too. They are both on a base quote of €4.60/kg. However, Kildare is paying a QA bonus of 10c/kg, while Kepak has a bonus of 5c/kg. Ballon Meats also reduced its quote by 10c/kg to an all-in quote of €4.70/kg.

Clean livestock policy

Teagasc’s guidelines on adhering to the clean livestock policy advise that withdrawing feed before transport will help in reducing issues, but will not entirely eliminate them where lambs are travelling long distances and being drafted off lush grass. The advice is to withdraw feed for a minimum of eight hours and maximum of 12 hours before slaughter, while also taking account of transport time and time spent in the lairage.

This means that for lambs travelling long distances, there may be no option but to house animals at certain times for a period before loading, while offering access to alternative feed to help dry up their dung or moving animals away from lush grass for a period.

Cull ewes

Cull ewe prices have come under pressure. Numbers have been very strong over the past number of weeks, as farmers cull off problem ewes before breeding.

Quotes are down on last week in some plants. Kildare Chilling reduced its quote by 5c/kg to a base of €2.50/kg. Both Kepak and Irish Country Meats remain on €2.50/kg. Farmers have had varied success selling ewes, with some securing €2.60/kg, but others have had to wait to book ewes in for killing.

Sheepmeat supply

There are a lot of signs that point to a reduction of supply of sheepmeat towards the end of the year and into early 2019.

According to Bord Bia, the 2018 UK lamb crop is back 5% or the equivalent of 700,000 head. Drought in parts of Australia will also have an impact on lamb supply and their export potential.

There have also been reports of big lamb losses in New Zealand’s north island earlier this month due to a snow storm.

Northern Ireland

Both northern sheep plants reduced their quotes this week. They are now quoting £4.75/kg (equivalent of €4.43/kg including 5.4% VAT). The northern sheep kill remains steady at 11,495 lambs and 727 ewes and rams.

Read more

Sheepwatch: more bite for light lambs

Northern view: beef trade steadies as supplies increase