Australia-Todays Lamb market.

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 8¢ to 415¢, as did Merino lamb being firm at 368¢/kg cwt. Light lamb declined 9¢ to 387¢, while trade lamb lost 6¢ to end at 449¢/kg cwt. Heavy lamb tumbled 31¢ to settle at 433¢/kg cwt. Mutton also went against the trend to finish 5¢ higher at 221¢/kg cwt.