AUSTRALIA-Sheep and lamb market alert
29/04/2009
Rain affects yardings
Supply at MLA’s NLRS reported saleyards declined 18% for lambs and 32% for sheep when compared to the same time last week. The drop in supply is primarily due to rain across parts of the eastern states over the weekend.
Throughput was most affected in Victoria, where lamb availability slipped 32% and sheep supply dropped 42% from last week, as rain fell across most of the state. SA experienced the same trend with lamb throughput declining 26% and sheep 58% due to rain.
Lamb supply in NSW declined 2%, while sheep numbers increased 5% due to the dearer prices at physical markets. A long weekend in WA influenced numbers as lamb supply was 25% lower than last week and sheep availability dropped 39%.
Quality and indicators experience a mixed trend
Generally quality of lambs has been good; however, supply of good lambs is tapering off, which is typical for this time of year. Sheep quality has been mixed and supply very tight. Sheep are generally selling to fierce competition, which is creating dearer values.
As supply tapers off and recent rain discourages throughput, the eastern states sheep and lamb indicators experienced a mixed trend from last week. Some processors have already reduced slaughter days while others are taking the current supply situation into consideration when thinking about closing for their annual maintenance breaks.
Restocking lamb was 9ยข dearer at 420ยข, while Merino lamb was unchanged on last week at 381ยข/kg cwt. Light lamb gained 4ยข to 391ยข, while trade lambs declined 3ยข to 455ยข/kg cwt. Heavy lamb were 6ยข cheaper at 453ยข/kg cwt. Mutton however jumped 20ยข from last week, to 257ยข/kg cwt.