Sheep and lamb market alert
8/04/2009
Short week shortens supply
Supply at MLA’s NLRS reported saleyards declined 20% for lambs and 26% for sheep nationally when compared to the same time last week. As there are two shorter weeks back to back due to Easter, competition has declined in some markets as some buyers are not attending or purchasing, which has encouraged a cheaper trend.
Quality has generally been mixed, with increasing numbers of lightweight lambs suitable for restockers. Most of the light and trade lambs offered at Midland in WA were purchased by processors however will be placed into feedlots for finishing.
Nineteen percent of the national lamb yarding were purchased by restockers and feeders. Trade lambs accounted for 37%, while heavy lambs declined from the same time last week to account for 18%.
Sheep quality has also been mixed with most being medium weight Merinos. Lightweight sheep accounted for 26% of the national offering, while heavy sheep made up 22% of the national sheep offering.
Indicators decline
Due to the short weeks and the resulting decreased competition at physical markets, most of the eastern states sheep and lamb indicators experienced a cheaper trend when compared to last week.
Restocking lamb went against the cheaper trend gaining 8ยข to 415ยข, as did Merino lamb being firm at 368ยข/kg cwt. Light lamb declined 9ยข to 387ยข, while trade lamb lost 6ยข to end at 449ยข/kg cwt. Heavy lamb tumbled 31ยข to settle at 433ยข/kg cwt. Mutton also went against the trend to finish 5ยข higher at 221ยข/kg cwt.