The average price of EU lamb (May ‘20-Jul ‘20) fell by 1% against the previous average (Feb ‘20-Apr ‘20) due to COVID-19-related lockdown restrictions across the EU. However, the EU-27 2020 sheep and goat production is projected to fall by 1.5% y-o-y to 667,000 tonnes (CWE), driven by smaller herd size, stagnated domestic demand, reduced trade and the potential effects of dry weather.
Meanwhile, In New Zealand, the average price of lamb in the May ‘20 to July ‘20 quarter was 1% higher than the previous average (Feb ‘20-Apr ‘20), driven by the resumption of shipments to China. New Zealand total sheep slaughter in the first five months of 2020 was up 3% y-o-y. This is likely to increase the amount of meat available on the global market in H2 2020, to be higher than usual, thus resulting in a downward price trajectory.
From economical to political, all the factors impacting the lamb market have been analysed to provide a market outlook for the next three months. Mintec’s market outlooks (schedule) provide insights on factors shaping the market dynamics of various commodities, providing the opportunity for market participants to stay ahead of factors that will impact procurement decisions.