The surprising price jump for lambs last week in the south has raised more questions about how the remainder of summer is going to shape saleyard returns.
In the past week of trading, lambs in the south gained $10-$15, rising from a national average of 666c/kg to settle just over 700c/kg cwt. It follows rate gains of $15 at Ballarat last week, with a step-up in demand also at Bendigo and Corowa earlier last week.
The price gains were driven by domestic processors as quality began to deteriorate.
There’s questions as to whether the flush of lambs at Hamilton and Ballarat subsiding will attribute to rates beginning to creep upward, leading into the hottest part of the year.
The standout performers at Wagga on Thursday were all light weight lamb categories. Store lambs are making up a moderate percentage of supply as the dry season forces a lot more well-bred secondary lambs onto the market.
Well-bred store lambs sold up to $10 dearer making $90-$128, while lambs to feed-on topped at $145. Light lambs to kill sold for $80-$124.
Looking at the trade and heavy export market, processors competition waned with buyers not pushing as aggressively for extra heavy lambs, with prices firm to a few dollars cheaper to average 650c/kg cwt. Prices for trade lambs stuck about 640-660c/kg with no great urgency across the usual buying group.
Price variations based on quality, buyer participation and forward contracts crept into opening markets on Monday.
Bidding eased at Bendigo on Monday with the National Livestock Reporting Service noting sporadic competition from export and domestic processors, amid reports they are booked with direct and forward contract sales.
The pick of the shorn heavy lambs recorded a top price of $229, however prices were off by $3-$7 to average 620-660c/kg. Best trade weight heavy lambs to supermarkets and domestic orders dipped $12-$18 making $149-$177 to average 645c/kg. Light lambs continued to benefit from strong restocker competition despite the heatwave. Well bred lines of shorn lambs sold for $108-$122 averaging $113 back to the paddock. Heavier lambs to feed-on sold for $124-$149.
The lamb market at Ballarat is still trying to find a price base this year as it continues to be buffered by hot weather, bigger numbers and patchy processor demand. Heavy lambs sold $4-$11 cheaper making $166-$218. Price results for trade lambs were a price correction of $11-$18 based on breed and quality. Prices averaged around 633-654c/kg cwt. Light lambs to the processors faded $8 while lambs returning to the paddock dipped $7-$14.
