Lamb prices have started to gather pace as winter hits the east coast severely in some regions of Australia, resulting in a two-pronged effect.
Tight supplies and fewer stock locked into forward contracts and direct deals are driving factors of the rise.
The Eastern States Trade Lamb Indicator surged ahead 40 cents a kilogram compared to the previous week which was driven by strong demand from Victorian processors.
Heavy lambs were keenly sought after in NSW.
An example of this was Fletcher International and Junee Meats which dominated the markets.
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The National Heavy Lamb Indicator finished the week at 820c/kg or 44c/kg higher week-on-week.
The indicator is up 34c/kg year-on-year.
Subdued demand from restockers nationally meant the restocker indicator dipped 69c/kg.
Mutton has become front and centre for processors as numbers diminish, with prices averaging 620c/kg.
It is still below the same time last year at 661c/kg.
The jump in rates was evident at Wagga Wagga, NSW, last Thursday as prices improved across the board and jumped $15-$25 a head.
Heavy crossbred ewes surged $25 to a top price of $275, while the lamb market recorded a top price of $344.
In the Merino run extra heavy lambs weighing an estimated 34 kilograms carcase weight reached $275 to average 811c/kg cwt.
Opening markets on Monday reported impressive price lifts at Corowa, NSW, while rate rises at Bendigo and Dubbo, NSW, were more sedate.
A full panel of buyers at Corowa lifted trade lamb prices $20-$30.
The excellent supply of medium trade weights averaged 900c/kg cwt.
Heavy trade weights 22-24kg sold from $200-$230.
Heavy lambs jumped $22 as a major domestic buyer entering the fray.
Heavy lambs sold from $233 to $270.
Numbers at Bendigo rose to 14,700 on the back of last week's rising saleyard prices.
According to Meat & Livestock Australia's National Livestock Reporting Service, quality was excellent with more heavy lambs presenting as hard fed and off grain.
Buyers were forced to pay premium rates over the limited pool of properly finished trade lambs.
Prices for lead runs of domestic lambs were quoted $15 dearer, while similar price lifts of $10-$15 were obvious for heavy lambs weighing 24-26kg.
The market reacted strongly for lambs weighing more than 26kg cwt which resulted in rates improving $15.
Exporters paid up to $300 for lambs weighing 38kg cwt, while most sold to an average 840-860c/kg cwt.
The standout of the sale was the mutton market, with processors paying $240-$255 for big Merino wethers.
Meanwhile, heavy crossbred ewes made from $220-$269 to average 660-669c/kg cwt.
- Leann Dax is an NLRS market reporter.
