New season lambs are really starting to hit their straps in the saleyards and fetching historically high prices.
According to Meat and Livestock Australia new season lambs sold for 11 per cent, or $19, higher than the five-year average at $191 a head.
On the other end of the spectrum however, the recent decline in the sheep and lamb market has seen a drop in price of wether lambs.
Challenging conditions for producers and deteriorating quality of the tail end of old-season lambs are also causing prices are fluctuate across all major indicators from week-to-week.
On Tuesday the Eastern States Trade Lamb Indicator (ESTLI) closed at 744 cents per kilogram carcase weight (cwt) with the Heavy Lamb Indicator sitting at 7554c/kg - a sizeable 212c/kg lower than the same time last year.
Light lamb rose 36c during the week to finish at 706c/kg and restocker lamb also had a week-on-week rise of 36c to land at 766c/kg.
MLA market information analyst Jenny Limn said young lamb yardings are improving as more new season lambs hit the market.
"Last week, the light lamb indicator strengthened week-on-week," she said.
"But it was the South Australian livestock exchange that took out the highest prices in the indicator at 796.48c/kg carcase weaight (cwt) and also had the greatest contribution, comprising 21 per cent of the indicator.
"New season lambs are fetching higher prices with the quality lifting in general - demonstrating the continued demand for heavier lambs from restockers and processors."
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The Merino lamb indicator dropped to 637c/kg on Tuesday which is 217c/kg lower than this time last year and mutton continued to struggle coming in at 510c/kg.
Recently, Mecardo analyst Angus Brown assessed and compared the prices and trade of Merino wether lambs.
The data revealed this time last year buy prices were $120 per head and gross margins were between $75 and $100 per head, depending on when lambs were sold, weights and wool type.
"At a saleyard level Merino lambs are around 100c/kg cwt below the same time last year, while 19-micron wool prices are also a little lower," Mr Brown said.
"Given the slaughter and wool price both dictate the income from trading Merino wether lambs, we would expect bids to be a bit softer this year."
Early sales of woolly Merino wethers, born in May and June, has seen prices hover around the $100/head level, but some lambs have sold for as low as $81/head, while a big line from Western NSW made $133/head.
Online, AuctionPlus reported a surge in new season lamb listings drove the increased offering, with lambs accounting for 62pc of the market.
