MarketPulse

Breaking Down AuctionsPlus Record Year for Sheep and Lambs

Written by Tim McRae | Aug 2, 2021 5:20:38 AM

While the record number of sheep and lambs offered through AuctionsPlus during 2020-21, at 4.43 million head, was 10% greater than the previous year, a more detailed breakdown of the categories serves to illustrate some of the trends witnessed throughout the year. From the surge in shedding and composite lamb sales, to the decline in the numbers of Merino wethers offered, there was several factors driving online results in 2020-21.

The largest factor driving AuctionsPlus results in 2020-21 was seasonal conditions, and the associated drive to rebuild the depleted sheep flock. This was witnessed by the comparatively lower number of proven breeding ewes offered online, while demand for future breeding ewe lambs was exceptional. With the excellent seasonal conditions, many producers choose to retain and rebuild, with the overall numbers of Merino ewes offered only up 5% annually, to 361,059 head, while the numbers of first cross ewes offered was largely unchanged on the previous year, at 92,435 head. Interestingly, SM Merino ewe offerings fell 22% annually, to 114,323 head.

In contrast, the number of ewe lambs offered skyrocketed for 2020-21 and was one of the main drivers for the overall 10% rise in total numbers for 2020-21. First cross ewe lambs offering jumped 86% for the year, to just shy of 350,000 head, while Merino ewe lamb offerings hit 207,786 head – up 8% annually.

Of note, the single largest category for AuctionsPlus sheep and lamb offerings in 2020-21 was Merino wether lambs, with 802,423 head offered – which was up 9% on the previous year. After being the largest category for the past five years, a 12% decline in crossbred lambs offered for the year saw it slip back into second place, with 765,890 head. Along with being the two single largest categories reported in 2020-21, both had the highest clearance rates for the year, with crossbred lambs averaging 89.3%, while Merino wether lambs hit 87.5%.

Matching the ample headlines in 2020-21, the number of shedding and composite breed lambs offered throughout the past year increased significantly. Reflecting both the growth in the size of these categories, and the interest from producers, shedding lamb offerings increased 45% annually, to 145,918 head - at a 76% clearance rate. Similarly, the composite/other breed category registered a 56% increase in numbers, to 307,932 head – with an 81% clearance rate.

With the growth in shedding lambs offered, came an even greater percentage increase in the number of shedding breed ewes offered throughout the year – albeit, with overall numbers still much smaller than the traditional Merino and first cross ewe offerings. The number of SM shedding ewes offered increased 141% annually, to 71,726 head, while SIL shedding ewes (28,526 head) and unjoined shedding ewes (26,217 head) increased 82% and 183% respectively.

Across the 22 assigned AuctionsPlus sheep and lamb price categories for 2020-21, every single lamb category was higher, while for sheep, there was only a slight decline for two categories.

For lambs, the rise in demand for shedding breed lambs pushed prices 76% higher in 2020-21, while the rise for the larger lines of first cross and Merino lambs was more subdued, ranging from 2-14% higher from the previous year. With the consistent rise in prices for 2020-21, it should also be remembered that the lamb market also registered a steady rise in prices during the previous year.

For the joined sheep categories, prices were also higher in 2020-21, for all but the SIL composite/other breed ewes, which averaged 10% lower for the year.