It was a no brainer that sheep and lamb prices would rally once it rained and the current flush of numbers disappeared at northern markets.
This was evident at Wagga on Thursday when the mutton market ran hot, rewarding producers for all classes of sheep. The spectacular price surge for heavy mutton left many a pundit breathless, when some sales of medium and heavy sheep hit 500c/kg cwt. Rates had no boundaries for weight or woolly Merino sheep despite most processors standing aside, unable to match the fierce bidding of Fletchers Dubbo and Thomas Food International. Further assisting the price rise was wet conditions and lack of numbers. Heavy sheep jumped $15 to record a top price of $182.20, while Merino wethers sold to $179.20.
The price outlook for lambs viewed by processors must be promising where secondary shorn lambs, 18-19kg, commanded $120-$128 to feed-on. The lamb market threw off a sluggish start caused by the mixed quality, with grain fed lambs spurring prices up to $4 dearer at the heavy end.
At Griffith on Friday numbers dropped following widespread rain to 8,200 lambs and 1,000 sheep. Rates rose over all categories.
Heavy export lambs felt the pressure of tightening supplies and were the highlight of the sale reaching $230, with the main run of heavy lambs selling $10 dearer averaging 607c/kg cwt.
So what does this all mean for coming weeks? Buyers and agents are singing from the same hymn sheet, all agreeing that increased supplies will ease the lamb supply situation, once the flush of new season lambs begin to appear in July.
Some producers are optimistic strong prices could be around for some time, if the prediction of a wet winter is correct for large parts of the country.
The shorter trading week appeared to give Ballarat market on Tuesday an edge, with most grades of lambs and sheep tracking dearer.
The trade lamb market responded with stronger price trends, while there were some good results; National Livestock Reporting Service said there was a decline in quality. Domestic buyers competed strongly and lifted weight specifications in order to secure adequate supplies. Trade lambs sold $6-$9 dearer, making from $125-$174, averaging 629c/kg cwt. Heavy lamb quality was again excellent and the small offering made from $171-$223 to average 624c/kg. Bidding strengthened for secondary lambs and was a standout of the sale.
There was strong processor competition in the mutton run and most grades lifted $7-$10. Heavy merino sheep sold from $108-$122, while heavy crossbred ewes made $90-$140.
