High lamb slaughter earlier this year is likely to result in the season finishing earlier than usual, according to the latest Rabobank Agribusiness Review. Although the cost of lamb started its seasonal increase over the past month, the number of lambs
High lamb slaughter earlier this year is likely to result in the season finishing earlier than usual, according to the latest Rabobank Agribusiness Review.
Although the cost of lamb started its seasonal increase over the past month, the number of lambs processed has plummeted in recent weeks due to higher slaughter rates earlier in the season.
Export volumes have been affected by earlier processing with April sales increasing by 5.3% compared to April last year.
Although total New Zealand dollar export value increased 8%, total exports for the four months to April are only 1% ahead of the previous year, the review said.
European heavy lamb prices were up between 3% and 6% from the previous year with light lamb prices being currently up 3% from the previous year.
In April overall meat prices, according to the review, have plummeted, with beef and sheepmeat prices falling 5%, poultry 3.2% and fish prices 2%.
While international cost of beef remain flat, cattle prices in New Zealand remains significantly above its 2009 levels.
Due to the depressed level of the New Zealand dollar, which was down almost 10% against the US dollar in May, further modest increases are expected.
The 6% increase of beef export volumes from the previous year was also evoked by higher slaughter, which took place earlier in the season than usual.
