NZ challenge for Irish lamb

Although the average price paid for lambs this year is showing an increase of almost 4% over the same period in 2006, producers are feeling the pain of a further drop of 20c/kg (7p/lb) this week against a week earlier.

Week-on-week prices are 30c/kg (11p/lb) less than this week in 2006, the effect of which is now weakening producer confidence in the future of lamb production because of the tightening margins of profit wedged between lower returns from the marketplace and higher production costs.

Competition from New Zealand imports is one of the challenges which Irish lamb has to compete with in retaining the share on the important French market — the principle export market for Irish lamb.