LAMB
More static lamb schedules this week in a global market well supplied with product, and reports that domestic production out of China and the UK are ahead of the norm and slowing imports into those countries.
The recent easing in the NZ/Euro currency has helped steady prices and demand into Europe, but those exporters that sold forward and kept stocks low will benefit most from this downturn.
A nervous silence has been heard from Silver Fern Farms on the capital restructure of that company, and some feel the outcome could be pivotal in the future direction of the red meat sector.
Average SI prime lambs at saleyards have languished in the $90’s since the start of the year, with pessimistic export prospects nullifying supply shortages from the early kill slowing the normal winter premiums from kicking in.
WOOL
A weaker currency and limited volumes drove the wool market to heady levels at last weeks South Island auction, that saw indicator levels jump between 37-45c/kg clean and fine crossbred and lambs wool reach yearly highs.
Auctioneers reported demand experienced at this auction, hadn't been seen for at least 4 years, and with negligible passings the next sale was also well below rostered amounts, and the strong market was predicted to continue.
The Australian wool market has seen twelve consecutive sale day rallies as the global market for this fibre is driven by supply shortages internationally.
BEEF
Big early beef supplies into the US market by both NZ and Australia have finally taken their toll, with prices easing into this important market, and here in NZ schedules for both bull and manufacturing cow eased accordingly.
Prime steers at the saleyards are just starting to move in the South Island but have remained relatively stable amid plentiful feed in the north.
The final high country weaner beef sales in the region finished on a high, with prices getting stronger all season driven by improving feed supplies and sound beef prospects.
DEER
Exporters report good forward sales for venison well into the winter, but industry concerns continue about the increasing kill of female animals indicating the nation’s deer numbers are contracting.
Velvet farmers are reviewing another great season of stability and strong pricing, and reports from a North Island velvet farmer of returns of $3000/ha will be the envy of many livestock operators.
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