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Goat slaughter numbers high, prices slip

Goat slaughter levels during 2009 have been the highest year-to-date totals for the past 5 years with numbers 72% higher than the same quarter last year and 33% above 2007 levels. A record number of goats slaughtered in any one month was set in November 2008 and a record number slaughtered in a week was set in the last week of January 2009. These record slaughterings have contributed to the general market weakness brought about by external factors including weaker demand from major export destinations due to the global down turn and the recent improvements in the A$.

On the bright side, the continued high price of mutton may have a positive effect on the demand for goat meat over coming months with some markets substituting goat meat for mutton based on price. This is the reverse of what was happening several years ago when there was an oversupply of cheap mutton in the market.

During the first quarter of 2009, goat prices continued the weaker trend experienced during 2008 with prices across all grades moving to lower levels. The Eastern States over-the-hooks goat price showed some signs of improving earlier in the year reaching a high of 170¢/kg cwt for medium weights (16-20kg cwt) before retreating to a 5 year low of 147¢/kg cwt by the end of March.

Goat quality has been good for those coming from areas where seasonal conditions have been favourable however there have been large numbers of light weight goats, particularly does, coming from southern areas as the cooler months approach.