Glimmers of hope as some lamb prices jump

Lamb prices increased at a handful of saleyards, but the market remains fragile. See which markets had the best returns.

Lamb prices have spiked in the south after saleyard numbers dropped; however, the market remains fragile, with not all auctions following the stronger trend.

Good processing lambs were quoted as $10 to $20 dearer at Bendigo on Monday in a much stronger auction, with some individual pens recording gains of up to $30 compared to the depressed outcomes of recent weeks.

It comes amid very low numbers at the centre, with Bendigo offering less than 4800 lambs at its past two markets.

According to the National Livestock Reporting Service, a stronger trend started to seep into the market late last week, with Wagga Wagga in the Riverina recording rates of $8 to $15 better

It came as the NSW market of Griffith was cancelled, and other selling centres such as Ouyen and Swan Hill offered just token numbers.

The price rally took most trade and heavy processing lambs above 570c/kg carcass weight in the past five days, with several sales recording averages above 600c/kg for the best lambs in nice domestic carcass weight band of 22-26kg.

However, cracks are still showing. Heavy and trade lambs at Dubbo in NSW on Monday were quoted as $4 to $8 cheaper, with the main run of 30kg-plus export lambs listed at an average of 505c/kg carcass weight by the National Livestock Reporting Service.

Corowa on the Victoria-NSW border was also no dearer this week.

The mixed results from the south to the north show up in the overall saleyard results from Monday, which indicates mild increases.

The NLRS reported the following changes to the rolling indicators.

– 22,640 heavy lambs averaged 556c/kg carcass weight, up just 2c/kg on Monday but following a rise of 24c/kg in the past seven days;

– 33,642 trade lambs averaged 556c/kg, also lifting 2c/kg and showing a lift of 30c/kg in the past week;

– 21,933 light lambs averaged 457c/kg, up 5c/kg after a significant jump of 55c/kg in the past week; and

– 9182 Merino lambs averaged 427c/kg, up 4c/kg and lifting 20c/kg in the past seven days of trading.

In dollar-per-head terms, extra heavy lambs still need to improve to make more than $200, with the top price at Bendigo at $205.

Most lambs in the 24-30kg range have been making from $135 to $175, with buyers working on little to no skin value for crossbreds.

Light lambs mostly made $50 to $110.

Tighter winter numbers have also supported the mutton market, and this has followed the lamb market by gaining around 20c/kg in the past week.

Mutton is currently trending about 340c/kg carcass weight, although there have been good trade weight sheep make over 400c/kg at recent markets.