Market Morsel: Sheep turnoff stays low

Market Morsel

The sheep turnoff ratio (STR), which is a measure of the proportion of sheep slaughtered and sent out of the country as live export as a percentage of the flock, sits near the lowest levels seen in over three decades with the September quarter ratio calculated at just 9.2%. The annual average STR is at 9.1%, well below the 14% threshold that determines if the flock is in rebuild (under 14%) or liquidation (0ver 14%).

An annual average STR of 9.1% suggests an increase to the Australian flock during 2022 of around 8% based on  the scatter plot line of best fit, which is consistent with the 7.7% gain in the flock that Meat & Livestock Australia are forecasting this year.