Processors struggle to cut lamb quotes amid flock decline

The processors are finding that overall the supply is tight and reflecting the depletion of the national flock, with intake at the factories year-to-date down by close to 40,000 head, keeping the balance in favour of the producers.

The lamb prices generally being paid by the factories are steady this week, while tending towards a hardening at plants where the intake is tight and a shortage is beginning to put pressure on filling the orders.

The base for lambs is generally unchanged from last week at 800–810c/kg plus the quality bonus of up to 20c/kg.

Some processors seem anxious to reduce prices by up to 10c/kg, an approach that seems to be clashing with the struggle to maintain intake.

Suppliers are reporting good interest from the factories for supplies, and regular suppliers or those with larger numbers to offer are in a strengthening position to secure up to 840–845c/kg at the slightly higher cut-off carcass weight of 21.5kg.

The processors are finding that overall the supply is tight and reflecting the depletion of the national flock, with intake at the factories year-to-date down by close to 40,000 head, keeping the balance in favour of the producers.

The trade at the live sales on Monday was reported to be slightly sharper than last week, while entries continued low.

There were 500 head on offer at Kilkenny, where the top price was €221 for a pen of five butchers lambs weighing 55kg. A lot of 10 weighing 53kg sold for €220, 13 at 52kg made €212, 10 weighing 58kg made €210, and factory-type lambs sold for up to €132 over.

At Corrin Mart on Monday, there was a top call of €201 for a pen of seven butcher's lambs weighing 55kg, while 10 weighing 51kg made €200, and nine weighing 49kg also sold for €200.