Market Morsel: Ovine exports and production

Market Morsel

Annual Australian mutton and lamb exports as a proportion of production have been on an increasing trend since the mid 1990s, demonstrating the steady growth in export markets.

It’s a credit to the work Meat and Livestock Australia put in to developing new markets for red meat our products and maintaining existing trade relationships.

• Over the last five years the proportion of sheep and lamb production that goes to export has been 69.7%
• During the first half of 2020 the proportion of exports has eased toward the average seasonal trend and unlike beef exports is now trending below the 2019 season’s pattern.
• This suggests that in recent months the softening in lamb and mutton export volumes has been driven by a combination of tighter supply, reduced production and a softening of offshore demand.

It probably goes some way to explain the recent weakening in lamb and sheep saleyard prices, while cattle prices have managed to hold their ground.

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