Lamb prices surge by up to 20%

THERE was a surge in lamb prices at the factories yesterday with prices showing gains of up to 20%.

Quoted prices at the processors increased to a base of 400 cents/kg (143p/lb) — an increase of 58 cents/kg (21p/lb) on prices quoted for Tuesday — as demand was driven by restrictions in Britain in the wake of the FMD outbreak.

Further gains were achieved by individual producers in direct deals with the factories as demand for lambs by the processors intensified to supply the void on the French market where the effect of the British ban is having immediate effect on supplies.

At the marts up to €50 over was paid yesterday at Cahir reflecting a general improvements of €10-€15/head in lamb prices over the past two days.

Although the FMD alert in Britain continues, with a third herd culled last night, the lifting of the ban — under tight controls — on the movement of animals for slaughter in regions outside the restricted zone yesterday, could ease the supply shortage of beef and lamb in Britain.

Pay sheet returns from the factories show an average of up to 3 cents/kg (1p/lb) more was paid by the processors for beef last week as the supply tightened. Overall intake was down 2,000 head at 27,193 head with most of the decline due to a fall of 1,600 head in the supply of bullocks at 11,889.

Although the national average paid for R4L bullocks was unchanged at 283 cents/kg (101p/lb), a quarter of the plants paid 3-5 cents/kg more for supplies. The average for O4L bullocks was up 2 cents/kg.

R4L heifers were improved by 3 cents/kg (1p/lb) at 289 cents/kg (103p/lb) and O3 prices were also 3 cents/kg (1p/lb) higher at an average of 273 cents/kg (97.5p/lb)

Kepak (Clonee) paid 235 cents/kg (84p/lb) for O4H cows — a margin of 11 cents/kg (4p/lb) above the average for the grade. Liffey Meats were the strongest buyers for P+4L cows at an average of 233 cents/kg (83p/lb).