MUTTON is making double the rate it was at this time last year with international demand driving exports to record levels.
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Last month a record February level of mutton was exported, totalling 18,769 tonnes (shipped weight), which was the highest monthly volume exported since November 2006, according to Meat and Livestock Australia (MLA) market analyst Ben Thomas.
Mr Thomas said mutton prices were currently averaging about 300 cents a kilogram carcase weight, which was double the same time last year.
However, he said in a historical context 2013 mutton prices were quite low and the current price was in line with the five year average.
The weaker Australian dollar also worked in favour of the current mutton market.
Mr Thomas said MLA anticipated the mutton price would remain reasonably steady for at least the next couple of months.
During the past five years, 90 to 95 per cent of Australian mutton had been exported.
Victorian agent Andrew McIllree, Driscoll McIllree and Dickinson Livestock Agency, Nhill, Victoria, said it was rare to strike the combination of dry times and good sheep prices.
Mutton prices at the Horsham sheep and lamb sale last Wednes- day brought upwards of 300c/kg, while some of the medium weight sheep brought up to 340c/kg.
Mr McIllree said the market had lifted on last spring's rates where producers were offered 170c/kg to 180c/kg for their mutton.
"In September when those prices were being offered, some producers decided to hang onto sheep and shear them," he said.
"Some got $25 worth of fleece off them and are now getting double the price per kilogram for them."
Mr McIllree said it was now a typical supply and demand situation as there just weren't the sheep numbers about.
Landmark livestock agent, Steve Gay, Dubbo, said the local yards had consistently drawn upwards of 10,000 sheep a week for the past six months.
He said heavy mutton was strong and brought upwards of 300c/kg at the Dubbo sheep and lamb sale on Monday.
Mr Gay said it was a combination of the money being offered for mutton and the dry season that was bringing in the numbers.
He said compared to pre-Christmas rates when mutton was sold for less than $30 a head, the lift to an average of $70 to $80 in recent weeks has spurred on producers to sell more sheep.
"We are consistently getting a large volume of sheep from southern Queensland to be sold at Dubbo. Those sheep have been making good money down here and there is a continual supply due to the dry," he said.
Plainer sheep had also been offered from Moree, Narrabri, Goondiwindi and St George, Qld, while the heavier sheep were being found closer to Dubbo.
He said the heavy sheep bringing the solid returns didn't necessarily have a skin on them, hence there was no skin value in the price, it was the weight of the mutton alone making the money.
