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Genetic quality commands high restocker prices
25 March 2021
Key points:
- Clearance rates across both AuctionsPlus sheep and lamb sales lifted to 71% after widespread rainfall limited supply due to transport access issues in key supply regions.
- Producers continue to pay exceptional prices for high quality future breeding stock, ensuring their base ewe flock can provide long-term productivity and investment returns on progeny.
- Genetic quality is dictating prices paid for restocker breeding stock, with Australian Whites topping the AuctionPlus sheep sales at $601/head for scanned in lamb (SIL) ewes in mid-February.
Rainfall throughout the eastern states resulted in an increased offering and clearance rate from Tuesday’s national AuctionsPlus sheep store sale. Crossbred lambs dominated this week, with over 15,000 head offered to deliver a 93% clearance rate.
Crossbred lambs have experienced significant price increases over the past 12 months, with prices lifting on average by 11.7%, or $24/head, year-on-year. Over the past month alone the price has risen by 5.7%, or $12/head, while yardings have also tracked higher by 7,017 head since the same time in February. All of this can be attributed to lambs currently being sold into a strong market and the positive outlook for sheepmeat in general.
The top priced lot of this week’s sale was made by NSM Australian White ewe lambs, which sold for $563/head. In a similar action to the cattle market of recent weeks, with producers buying weaner heifers at the annual sales, it is evident restocker appetites to pay for quality future breeding stock are very strong.
The natural, low maintenance, easy doing ability of the Aussie White adds further testament to the value producers are placing on purchasing quality genetics. This will support a lift in the overall productivity of a flock and deliver stronger investment returns on the progeny sold from these ewes. AuctionsPlus have analysed the online uptake of Aussie Whites since 2015 in a recent article.
With the medium-term outlook for the domestic lamb market in a favourable position and widespread rain falling, producers are focusing on the future with their current restocking purchasing behaviours online. This reaffirms the belief that the rebuild of the national flock is well and truly in operation – a positive indication for both the sheepmeat and agriculture industry to capitalise on domestic and export opportunities for sheep and lambs.
© Meat & Livestock Australia Limited, 2021
