The drought in NSW is driving a sell-off of new season lambs with the Riverina experiencing the worst conditions in years. This week 50 per cent of the 11,600 sucker lambs offered at Wagga were under 14kg carcass weight while in this total at least 3500 were immature lambs under 11kg cwt.
One agent described the big numbers of light weight new season lambs as clearing the decks, with producers fearing a potentially dry spring according to the Bureau of Meteorology.
The number of light weight sucker lambs already dragged forward in NSW is alarming and the repercussions will carry on for months if not years.
Several meat companies are already questioning where this record price will run and have taken the unusual step for this time of year, to buy new season lambs to feed-on. The majority of second cross lambs destined for feedlots and purchased by processors sold at $112-$143.
Despite a smaller field of domestic processors at Wagga trade lambs across the board gained $5. The bulk of new season lambs sold from $160-$235 averaging 911c/kg cwt. Price for heavy sucker lambs defied pundits with prices climbing over 1000c/kg cwt.
A single pen weighing 28kg cwt carrying a $10 skin topped the market at $292 other sales ranged from $260-$284. Griffith lamb sale on Friday benefited from increased demand from export and domestic processors. The stronger competition generally posted dearer rates of $9-$15 for new season lambs
The market started off in line with recent sales but kicked away when it came to both new season heavy lambs and heavy old lambs.
Enthused exporters drove the market $13-higher for heavy lambs with new season lambs topping at $290 to average 955c/kg. Heavy old lamb rates remained sky high as a shortage at all selling centres provides a support to values.
New season trade lambs continued their impressive run with further price rises recorded at Bendigo on Monday. Young lambs were another $10-$16 dearer according to National Livestock Reporting Service (NLRS) as supply continues to fall short of demand. There were plenty of lambs estimated above 913c/kg cwt with some exceeding 990c for choice pens. It follows some very robust markets recorded at other selling centres.
Heavy lambs were limited at Ballarat on Tuesday in a reduced offering of 5,576; the quality was variable as were some of the prices. While trade lambs were firm for some, prices lifted $10-$12 for choice supermarket types as the sale progressed. Better-quality trade lambs made from $199-$238 with new season trade lambs averaging 903c/kg cwt.
