THE end is near – Meat and Livestock Australia has forecast the rate of decline in Austraia’s sheep flock will slow to just two per cent this year.
And, at their annual industry projection in Sydney this afternoon, MLA sheepmeat market analyst Kara Tighe predicted the flock would start to rebuild once it fell to an expected total of 69.9 million head
MLA also expected turnoff to decline by 15pc in 2010 as a more favourable season set in, leading to limited supply of sheep at sales – good news for prices, which were expected to maintain their high levels above 315 cents a kilogram.
Lamb production was predicted to increase two per cent, as well as slaughter, as more producers looked to prime lambs. Domestic consumption was also expected to increase.
However, an autumn break was critical to the accuracy of these predictions, Mrs Tighe said.
Exporters were more likely to face a difficult year due to the stronger Australian dollar, but growth was still expected due to increased demand and lower global supplies.
"The Middle East is projected to remain a standout market for Australian lamb with shipments forecast to rise eight per cent year-on-year to 38,900 tonnes," Mrs Tighe said.
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