Prime lamb prices underpin values for Merino sheep at Hillston

Better than expected prices for prime lambs are underpinning values for Merino sheep as tens of thousands of ewes and wethers come onto the market.

Better than expected spring prices for prime lambs are underpinning values for Merino sheep as tens of thousands of ewes and wethers come onto the market.

Merino wether lambs sold to $160 online last week and Merino ewes made $270 at Hillston on Monday as prime lamb breeders and finishers took a position in the market.

But the lack of enthusiasm for sheep is becoming apparent, with only the best breeding ewes earning strong competition while the pool of potential buyers shrinks.

Merino ewes sold to $270 at the Hillston sheep sale in NSW on Monday.

The annual Hillston sale is seen as a trendsetter for values, and while the first few pens made $200 or more, the market quickly slipped for stock that didn't fit the bill for prime lamb breeders. Some lines were passed in at auction.

Elders Mark Flagg livestock agent Mark Flagg of Barellan, NSW, was at the Hillston sale and said the crowd was small and the market “lacked punch”.

“At home (Barellan), it’s wall-to-wall crop now and it seems like not as many people want to be in sheep anymore,” Mr Flagg said.

He said bigger Merino ewes sold for more than $200, but anything which lacked size or frame was harder to sell.

Barellan prime lamb producer Robert Robertson paid $222 for a run of 309 Merino ewes from Ballatherie at the Hillston sale to put into his prime lamb breeding operation.

He said the changeover cost, trading in old ewes to buy younger replacements, was in the buyer’s favour this year.

“I thought I may have to pay more for young ewes, and have paid up to $300 in the past,” Mr Robertson said.

“I’ve got $190-$220 for all the lambs I’ve sold this year, and $100 for my cast for age ewes so to be able to buy breeding ewes back in for $222 is pretty good buying.”

Merinos are being valued on what they can contribute to prime lamb operations.

Meanwhile the strength of prime lamb rates spilled over into Merino wether lambs values with a Riverina sale recording prices of more than 800c/kg carcass weight for the best lines last week.

Elders Hay branch manager Andrew Low said the wether sale result had been “a great day” after there had been lower expectations even six weeks ago.

“There is some confidence in the job now,” Mr Low said.

“Six weeks ago, we thought the best of the wether lambs might make $100 and they made $160 today, and the second runs we thought might make $60-$80 and they are making $80-$100.”

“It comes off the back of an exceptionally strong sale on AuctionsPlus earlier this week where lambs that were killable were making really good money.”