Lamb prices 20c/kg up on last year

“SHEEP farmers won’t get rich on it but we are a bit ahead of last year.”

This positive outlook comes from John Brooks of ICSA who assesses the glass is at least half full for sheep farmers as we enter the first full week of September.

Lamb prices are indeed ahead of last year by about 20c/kg this week with both Mr Brooks and IFA’s John Lynskey reporting €5.00/kg and 22kgs on weights as being the reality bench mark for lamb as both factories and wholesalers go full tilt in their quest to fill orders ahead of the Eid-Ul-Adha festival.

The official quotes from the factories as of yesterday morning saw the general run lamb on €4.70/kg plus the various 6 and 10/kg bonuses which means that prices at the two ICM plants, Dawn Ballyhaunis and Kildare Chilling rose 10c/ kg week on week to an all in quote of €4.80/kg. This leaves last week price leader Kepak Athleague trailing the field by 4c/kg with their price €4.70/kg plus 6c/kg bonus.

Factory agents and buyers were under pressure yesterday morning for numbers as some admitted that farmers were tending to dig in on price. However one of the country’s major players said; “we’re quoting what we’re quoting but the reality is we are paying €490-5.00/kg for lamb.” Another factory man said , “yes, it’s a good week to be in the sheep business at any end”, he went on to explain that although his order book looked a little “thin” as of yesterday at ten o’clock he expected it to have improved significantly by Tuesday at two o’clock.

In the background however moves were detected to ease prices south should any opportunity present itself, with quote of the week going to a factory man who said: “yes its good this week but after this there’s nothing sexy between here and Christmas”.

The ewe trade this week has taken a back seat to the trade for lamb with some plants not quoting as they concentrate on the primary objective of securing lamb supply.

Of those that did quote, Kepak Athleague remains on last week’s price of €2.40/kg +6c/kg bonus with Dawn Ballyhaunis easing back 10c/kg to €2.30/kg. While none of the others are actively looking for ewes, for reasons already given, they insist they won’t be turning stock away either.

Mart numbers swelled considerably last week but the drive for stock by both factory and wholesale buyers saw the balance remain in the sellers favour with marts in many areas reporting prices up by anything from €4-6/hd for lamb with stores driven by farmer buyers by another €2-3/hd.