Lamb Prices Have Fallen Drastically In The Past Few Weeks, With A Continued Downward Trend Predicted And More Pressure On Farm Margins

Lamb prices have fallen drastically in the past few weeks, with a continued downward trend predicted and more pressure on farm margins. PGG Wrightson South Island livestock manager Shane Gerken says both lamb and mutton prices have dipped in the last four weeks – the result of lower demand from overseas markets, especially China. Opening prices in November could be below $7 per kilogram, which means farmers will be paid about $40 per head less than in the past two years. Rabobank senior agricultural analyst Emma Higgins says sheep farmers are desperately waiting for the Chinese market to rebound. Meanwhile Australia’s very large volumes of lamb are heading into export markets such as China and Europe at some of the lowest levels since 2019 which is adding strong competitive pressure for New Zealand lamb in global markets.