These 34 crossbred lambs sold for $239.60 through Butt Livestock for a Monteagle client at the SELX Yass saleyards in NSW this week.

AUSTRALIA’S key export lamb price benchmark — the heavy lamb indicator — reached its highest level in three years this week.

Meat & Livestock Australia senior market analyst Erin Lukey said there was an unseasonal lift to the heavy lamb indicator – up 38 cents to 909c/kg cwt – to be its strongest since October 2021.

The strong saleyard prices in recent weeks peaked further at the Wagga Wagga saleyards yesterday. The NLRS said a notable trend was the premium prices commanded by shorn lambs, with top drafts often breaking the 1000c/kg barrier. Trade lambs prices increased by $15 across various weight categories. The best 21-24kg trade lambs sold for $176-$226 and averaging 890c/kg cwt. Lambs in the 24-26kg range were well-supplied, with prices jumping by $25 to average $245 per head, highlighting the strong demand for heavier weights.

Wagga’s export lamb prices lifted $28 as buyers engaged in lengthy bidding duels for well finished lambs with weight. Heavy lambs commanded premium prices, selling for $259-$285, and averaging 963c/kg cwt, underscoring the lack of supply.

Ms Lukey said the trade lamb indicator rose 41 cents to 858c/kg.

“This showcased a continued strength in the markets despite elevated yardings through both specifications.”

Ms Lukey said despite lifts in both indicators, the gap between them grew to 51 cents.

“This is only the fifth time since 2001 the gap between these two indicators has been greater than 50c.”

Sheep and lamb yardings ease

After high throughput in the previous weeks, national sheep and lamb yardings eased 9pc this week to 356,984, Ms Lukey said.

“The ease was driven by good rainfall across some of the major supply regions.

“Lamb yardings eased 3pc to 244,220, and despite the impressive throughput in the week prior, yardings for sheep pulled back 19pc to 112,746,” she said.

Ms Lukey said all sheep market indicators, except the light lamb indicator, achieved week-on-week, month-on-month and year-on-year improvements. The light lamb indicator eased by 2 cents to 728c/kg cwt.

“Improved buyer competition was noted across market reports, indicating processor eagerness will remain strong until the end of the year.”

Slaughter eases but remains high

Ms Lukey said the combined sheep and lamb slaughter eased 3pc to 708,746 head.

“Despite the easing, it remained well above-average as the third largest processing week on record,” she said.

“Reductions in all states, bar Queensland, brought levels back, with all states processing between 10–25pc more when compared to year-to-date 2023.

“A 3pc reduction was seen in lamb slaughter, with a reduction in all states, including Queensland and Western Australia, where numbers reflected the throughput of June this year.”

Similarly, sheep slaughter dropped 4pc to 241,310, though was still the third largest throughput since 2006, Ms Lukey said.

In NSW, 49pc of the combined kill was sheep over lamb, with similar trends seen in WA at 46pc.

“National proportions sat at 34pc as processors continued to buy mutton despite no significant pullback in prices, indicating strong supply joined by solid demand.”

Source – MLA.