Sheep Industry News August 2021

as 140-lb. plus lambs that the traditional market historically harvests. While hair breeds have been popular in the ethnic market, by some accounts, the ethnic market prefers wooled breeds because the meat is more pink than red. Reportedly, the wooled breeds also dress better, have a higher-percentage yield for comparable weight lambs. Eid ul-Adha (Muslim Festival of Sacrifice) on July 20 and Mu harramm/Hajra (Islamic New Year) on Aug. 10, will signal high-de mand periods for lighter-weight lambs, meaning continued short-term price support at already high levels. Depending upon import levels in the next few months – and an actual count of feeders coming to the market this fall – tight supplies might persist for some time, keeping prices high through the December holidays. LAMB AT WHOLESALE SETS NEW RECORD In the first week of July, the lamb cutout hit a new record high, $540.05 per cwt. In June, the average cutout value was $513.84 per cwt., up 9 percent monthly and up 45 percent year-on-year. The rack, 8-rib, medium, brought $1,210.38 per cwt. in June, up 9 percent monthly. The further fabricated rack, roast-ready, frenched topped $22 per lb. The loin, trimmed 4x4, averaged $848.31 per cwt., up 7 percent monthly. The shoulder, square-cut, saw $438.33 per cwt., up 12 percent monthly. The leg, trotter-off, averaged $779.53 per cwt., up 7 percent monthly. The lamb primals averaged 45 to 57 percent higher year-on-year. Ground lamb brought $751.12 per cwt. in June, up 6 percent and up 46 percent year-on-year. PELTS SEE SOME SUPPORT The American pelt market saw some recent uplift, with skin credits to producers back to 2018 levels, or a three-year high. Export ship ping is an issue with orders in a delivery window of six weeks to four months, challenging payment and marketing plans. Overall, interna tional shipping is more expensive. However, this also means imported international pelts to the United States are less competitive, which might give American pelts some domestic support. The growing popularity of hair sheep – such as Dorper and Katah din – begs the question of the value of hair skins. Hair skins have value, but face competition from the sizable cattle hide market. What gives lambskins value from wooled breeds is the shearling. Shearling is the pelt of a sheep or lamb with the wool left on. TIGHT SUPPLIES PRESSURE PRICES Tight lamb supplies dictate that prices are being bid up and that lambs are going to harvest at lighter weights. Lamb and yearling feder ally inspected harvest was 912,900 head in January through June, 1 percent higher year-on-year from 2020 (which in turn, was down 7 percent from 2019). However, the first-half of 2021 remains 6 percent lower than the same period in 2019 and 3 percent lower than the first six months of 2018. Estimated lamb production January to June was 43.3 million lbs., down 1.5 percent year-on-year and down 10 percent from the first-half

Test your rams now to identify sire performance and set your benchmarks for 2022. GENETIC TESTING

Committed to the farmer. Committed to the flock.

August 2021 • Sheep Industry News • 7