Lamb prices show recovery

Marts: Lamb prices showed a slight recovery at the factories yesterday with producers being offered a base price of up to 420c/kg (150p/lb) talks between producers and processors on price were described by both sides as “constructive”.

Following the meeting in Dublin last evening, IFA President John Dillon expressed confidence that the price of lambs will continue to improve over the coming weeks and confirmed that it had been agreed with the processors that slaughter weight limits will be increased. The association will monitor the situation day-to-day and both sides will meet in a month to review the progress.

Cormac Healy, said that Meat Industry Ireland - whom he represents - proposed the establishment of a Lamb Development Council at the meeting.

The outcome of the meeting appeared to have removed the threat of renewed protest action by farmers at the factories which had been threatened in the form of lightning protests at factories.

The increase to 420c/kg yesterday was offered at Kildare Chilling, while prices generally across the country ranged 408-414c/kg (145p-147p/lb) increased from a base price of 406c/kg (144p/lb) at which the trade opened this week.

Meanwhile, it was claimed that some of the factories had paid up to 433c/kg (154p/lb) to get supplies this week and several of the factories were paying 420c/kg, although not publicly quoting such prices.

Producers had continued to vent their anger towards the processors following the collapse of the deal through which they had agreed to pay a base price of 475c/kg (170p/lb).

IFA Sheep Committee chairman Larry Fallon said that, “based on market returns, farmers are entitled to a base price of €4.40/kg this week”, adding that the French market is returning the equivalent of up to €4.60/kg and the British market has improved considerably up to a price of €4.88/kg.