Mutton rates ride high on demand

Low supply contributed to strong mutton prices while the lamb market was driven by quality.

On the rise: Monday’s prime sale at Bendigo was one of the hot spots for mutton. Picture: Dannika Bonser

THE  mutton market spiked this week as demand for good processing sheep ran ahead of supply.

Price gains of $10 to $20 were recorded for ewes and wethers at major saleyards earlier this week, with carcass rates for mutton within $1/kg of heavy lambs.

The lamb market performed on quality, with buyers still prepared to support the best sucker lambs still in fresh condition but pulled back on plainer types presenting in drier skins.

The result was a slight easing of saleyard averages for lamb after the close of selling.

The National Livestock Reporting Service reported the following trends:

HEAVY lambs (22kg carcass weight plus) at an average of 748c/kg, for a mild correction of 2c compared to Friday; back 31c in the past seven days of trading and 54c lower in the past month.

This category is now priced 3c lower than the same time last year.

TRADE lambs 761c/kg to be firm on late last week, but 34c softer in the past week and for a weakening trend of 57c in the past month. Trade lambs are now just 3c ahead of the same time last year;

LIGHT lambs were listed at 843c/kg cwt, for a gain of 2c on late last week. This category has only slipped 11c in the past month, and is 74c higher than a year ago thanks to the good season and more restocking demand.

MUTTON was at an average of 652c/kg on Monday night, to be 2c dearer than Friday and showing a gain of nearly 30c in the past month. The mutton indicator is now 68c higher than the same time last November.

Mutton was the highlight at both the Bendigo and Corowa saleyards earlier this week, with the NLRS reporting much dearer results at both these centres.

Big crossbred ewes sold to $261 at Bendigo, with many heavy sheep making from $180 to $230. The quote for good lines of mutton was 620c/kg to 680c/kg cwt.

At Corowa, heavy crossbred ewes reached $252 and averaged $232.

Supply is the main driver behind strengthening mutton rates, with sheep numbers remaining low at saleyards despite this time of year being associated with the spring sell-off of old breeding stock.

While there was a lift in lamb supply to 21,000 at Bendigo this week, sheep numbers fell to 7000. It worked out to a ratio of three lambs to one sheep being offered to processors.

The same scenario was evident at Corowa where 12,200 lambs were yarded against 4200 sheep for a similar 3:1 ratio.

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