Up to $100 wiped from first cross prices at Bendigo

Prices took a hit at Bendigo where farmers made up to $100 less than if they sold first-cross ewes a month ago. See our expert analysis.

Some vendors could ‘grin and bear it’ and others had to really grit their teeth as first-cross ewe prices at Bendigo today melted down to meet lower lamb, mutton and wool returns.

All prices were considerably lower than the early special sale held in November, but some were worse than others.

And this was on show in the opening minutes of today’s auction.

The first pen of grown Border Leicester Merino-cross ewes, September/October-2021 drop, shorn and with all health ‘ticks’ for mulesing, Gudair vaccination, drenching etc, sold for $374 after an opening bid of $300.

Then the next pen of 68 ewes, the heaviest in the yarding at 81.6kg, sold on one bid at $290. These were from a vendor who had received more than $500 a year ago when the sheep market was red hot.

Third pen in, and 158 ewes at 71kg sold for $255 – and the anxiety among vendors and agents could be seen on faces.

The sale continued in this manner basically all day. While there were some OK results, others were left adding up the income cuts that have hit in a few short weeks.

Broadly, prices were $80 to $100 per head cheaper than the earlier special sale held in Melbourne Cup week. The markets were split this year due to the extreme weather which disrupted shearing of sheep for these special sales, impacted the condition of stock, and prevented many lots from being yarded.

The first-cross ewe lambs faced the toughest price outcomes today compared to the early November market where they had sold exceptionally well.

Allan Wiltshire, of Prairie, was there to tell the tale, last month selling a draft of ewe lambs that weighed exactly the same as this week’s lot at 44kg liveweight. In November they made $308, and today $222.

“Overall this market is a lot cheaper than it was three weeks ago,’’ Mr Wiltshire said.

“I knew it would be back with the way the lamb and mutton job has come off, but it was probably worse than I had anticipated.

“But we couldn’t get them all out a month ago as they were paddling around in flood water.’’

Bidding for the lead pens of heavier lambs was soft before competition firmed-up on some of the middle runs. Highlighting this was the feature line of April-May drop lambs from Springrove Trust. The first draft, which led the ewe lamb offering, weighed 58kg liveweight and sold for $250. The second run at 53kg then sold for $226, then the thirds at 47kg made $240.

Most ewe lambs were in the range of $160 to $220.

Josh McCahon with father David, of Moliagul, was relieved after their pen of shorn first-cross ewes weighing 69kg topped today's Bendigo sale at $385. They were in rarified air with only a few pens making over $310 today, and the heaviest ewe lambs to $250 as prices were rolled back $80 to $100 per head compared to the earlier special crossbred sale held in November.

The top price of the sale was $385 for shorn 1-1/2-year-olds from brothers Josh and David McCahon of Moliagul, and they were one of the vendors that could grin and bear it.

“This price surprised me, very much so,” Josh said.

“My heart has been heavy in my chest for the past two weeks literally (worrying about the market).”

But while prices were cut from a month ago, buyers weren’t rejoicing the bargains. The majority of the ewes sold south into later production areas like Ballarat, Leongatha, Horsham, Kilmore, and these producers are either selling into the depressed lamb and mutton markets or are yet to sell.

Gordon “Tige’’ Powell, of Windermere, paid $248 for first-cross ewe lambs today, and spent $355 for ewe lambs at the special sale a month ago.

From a trading perspective he said their position was about the same as mutton and lamb incomes had rolled back by at least $100.

“Prices for big old ewes have dropped $100 so if you work on a lamb and a ewe covering most of the cost of a new breeder we are still about on the same line,’’ he said.