Australian lamb prices bounce after short supply, heavy rain

Last week, agents at Wagga Wagga, NSW, mustered only 34,000 lambs and 13,500 sheep, reflecting the impact of these market dynamics in the middle of spring.

Coming off a short trading week, prices experienced a surge and climbed by $15 to $30 a head for both trade and heavy lambs, as even old lambs found favour with buyers on the rails.

Notably, old lambs, weighing about 37 kilograms carcase weight, were knocked down by a Riverina livestock agency at an impressive $197.

Key exporters and domestic processors were in the mix, driving rates for young, heavy lambs up by $15, with the heaviest pen fetching a top price of $168.

Trade lambs were also in the spotlight and reached $138, with numerous pens averaging 550 cents a kilogram cwt.

The highlight of the sale was witnessed in the mutton pens, where two major processors went head-to-head, leading to a doubling of rates.

Big wethers fetched up to $144, while heavy ewe mutton sales ranged from $40-$118, averaging 292c/kg cwt.

The positive trend continued in Victoria at Bendigo on Monday, albeit with a marginal increase in lamb supplies, totalling 19,550 head.

This led to a substantial price hike of $35 for the best domestic lambs, as the market responded to limited supplies further south.

Heavy-export lambs also recorded gains of $8-$13, while plainer lambs continued to find buyers with selective demand.

After enduring rapid price declines in recent months, producers and agents breathed a sigh of relief as the auction system regained strength, especially for well-finished types.

Meat & Livestock Australia's National Livestock Reporting Service estimated that most of the better-quality trade lambs at the Bendigo market commanded prices between 520-537c/kg cwt.

Meanwhile, the mutton sale faced a decline in prices as numbers surged by almost 10,000 to 13,750.

The market experienced reduced competition with fewer buyers.

Sheep prices witnessed a drop of $15-$25, with most mutton averaging between 80-140c/kg.

Rams, too, faced challenges, selling for prices ranging from $2 to $8, as processors exhibited reluctance to bid and focused on other sheep in the saleyard.

Looking at the bigger picture the recent combination of rainfall and reduced saleyard offerings has injected strength into the livestock markets, with lamb prices rebounding and mutton experiencing its share of challenges.

The fluctuating sheep market conditions serve as a reminder of the dynamic nature of Australia's livestock industry.