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Lamb price trends

Posted in Rural Data
Image courtesy of Beef and Lamb NZ

April-14

LAMB

Lamb schedules again eased especially in the south driven by currency concerns but demand for quality animals in the north has seen local trade prices and some export contracts move in the other direction.

Overall farming confidence levels have lowered with the fall in dairy prices and extended northern areas being affected by feed shortages.

But rural land is still seen as a sound long term investment, and Mangahone Station recently sold for the highest ever amount for a sheep and beef unit in the north island.

Store lamb prices in the north are steady as volumes increase, while in the south demand is increasing with lack of supply and plentiful feed.

February processing figures showed lamb harvesting had fallen behind last year by 3% but the slack was taken up by a mutton kill meeting strong Chinese demand.

A lift in local trade lamb pricing points to a growing shortage of quality lambs in the north especially as the export trade values are still easing.

Farmers gained support for their Beef and Lamb remits seeking funding for MIE, the combining of genetic enterprises to one entity, and a proposal to investigate reinstating the wool levy.

Research is showing the feeding of high energy blocks to scanned triplet ewes has given a good return in better survival and birth weight of newborns.

Drench resistance is still a major issue in lamb growth rates and the use of FEC tests is being encouraged to understand solutions to this problem.

Clover root weevil has hit the south decimating lamb fattening feed, but an accelerated release of the Irish wasp parasite is underway to control this pest.

Trends suggest easing lamb pricing  averaging at 509c/kg CWT with a return to producing frozen carcasses.

WOOL

The latest wool sale saw prices steady on a rising currency but growers withheld nearly a quarter of the offering for future sales.

In Aussie merino wools are flat at the moment as the Chinese are targeting cheaper finer crossbred wools and the trade is predicting it could be six months before they see a lift in this “lack luster “market.

Wools of NZ have announced they are well ahead of prospectus predictions for their second year result and their lamb and crossbred fleece contracts continue to return prices ahead of the market.

Feltex directors face the wrath of the shareholders in the courts as they seek to get redress from poor information from this now failed carpet maker.

Wool Equities is to delist from the share market as it looks for a potential merger with Primary Wool Co-Operative as a way to improve shareholders returns and give growers a bigger slice of wools end value.

To view Chart for mid micron, coarse and fine crossbred indicators CLICK HERE

CLICK HERE for currency trends.

- lamb
- beef
- deer
- velvet

for more perspectives, see

- Exchange rates
- Commodity prices
- Farm cost indexes
- Interest rate trends
- Rural credit aggregates
- Farm sales activity
- International dairy price