Scottish sheep prices are holding firm despite increased numbers going to market, according to Quality Meat Scotland (QMS).
The latest market analysis by the red meat levy body paints a positive picture for Scottish sheep producers, despite a larger lamb crop available for marketing this year.
QMS senior economics analyst, Iain Macdonald, said high producer confidence levels last autumn helped drive an increase in breeding ewes for the current season with results from the Scottish Government’s June Agricultural Census suggesting a 1.1% increase in ewe numbers.
Mr Macdonald said this, coupled with a lambing rate of 130.6%, has resulted in 3.35 million lambs being on Scottish farms and crofts this year – up 1.1% on last year and 2% above the five-year average.
He said the picture was different south of the border with a 3.9% decrease in this year’s English lamb crop, driven by a 2% reduction in ewe numbers.
“Therefore, while the volume of lambs leaving Scottish farms for slaughter this season is likely to be slightly higher than in the 2020/21 season, at GB level supply is tighter overall,” added Mr Macdonald.
Slaughter data from Defra up to the end of September shows a 15% reduction in lamb throughout at GB abattoirs between June and September, compared to the same period in 2020.
“Given the scale of this decline so far, slaughter numbers may begin to recover going forward, supporting availability for export in late 2021 and early 2022,” added Mr Macdonald.
He said auction sales data suggested an upturn in numbers forward this month, however prices had held firm and they were around 20% higher than last year and 40% above the five-year average.
On Thursday October 21, Aberdeen and Northern Marts sold 1,014 new season prime lambs to average 226.9p per kg at its Thainstone Centre, near Inverurie.
This is up from an average of 177p per kg for 1,430 prime lambs at the equivalent sale on October 22, 2020.
United Auctions in Stirling sold 3,360 new season prime lambs to average 239.94p per kg on October 21 – up from 189.5p per kg for 3,326 lambs at the equivalent sale last year.