AHDB Cattle and Sheep Weekly
04 August 2015
Lamb trade falls again
The liveweight lamb trade at GB auction marts has continued its move downwards for another week, despite the number of lambs coming forward being lower again. It appears as though the low prices are continuing to have an impact on whether producers market their lambs or not.
With the continued pressure on the trade from the weakness of the euro and the impact this is having on returns from the export trade, the SQQ fell below 150p/kg threshold on Wednesday of last week. It has edged down every day since, to be just below 144.0p/kg on Tuesday 28 and Wednesday 29 July. In the week ended 29 July as a whole, the average NSL SQQ was down by another 6p on the week earlier at 144.6p/kg. It’s at its lowest level since the early weeks of January 2013 and now means prices are 30p/kg below levels seen last year.
While the number of lambs marketed in the week fell by 11 per cent week-on-week, the number of heavy lambs coming forward actually increased. Consequently for another week the percentage of lambs falling outside the SQQ was up on the year. A total of 16 per cent of the lambs sold in the last week were over 45.6kg, compared to just nine per cent at the same time last year. Reports suggest that producers are trying to gain some weight in an attempt to alleviate the low prices.
Deadweight prices were also down again in the latest week. In week ended 25 July the deadweight SQQ fell by 5p to 339.6p/kg.
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