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Lamb supply boosted by jump in prices
19 May 2016
Eastern states lamb yardings this week jumped 41% week-on-week, to 185,587 head – 23% higher than the same time last year (152,186 head).
Saleyard and direct-to-works prices over the last two weeks have been buoyed by rain across many of the key lamb producing regions in early May. Forward contracts put out this week for June delivery have also provided more stability for the market going into winter.
At the conclusion of Thursday’s markets:
- The eastern states restocker lamb indicator lifted 20¢ week-on-week to average 555¢/kg cwt
- Merino lambs were firm on 514¢/kg cwt
- Light lambs gained 6¢ to average 549¢/kg cwt
- The Eastern States Trade Lamb Indicator (ESTLI) eased 1¢ to average 559¢/kg cwt
- Heavy lambs increased 6¢ to 561¢/kg cwt
Following the recent rainfall, the weeks ahead will more than likely see restocker confidence remain high. Furthermore, the Bureau of Meteorology’s three month rainfall outlook is a positive one, pointing towards ‘above average’ rainfall for large parts of Australia.
