NATIONAL mutton prices are just 25 per cent below lamb according to Meat & Livestock Australia's National Livestock Reporting Service, the closest mutton prices have ever been to the trade lamb indicator.
Despite mutton prices easing since July, when the indicator went past 600 cents a kilogram carcaseweight, they have still remained above 550c/kg cwt.
With mutton prices remaining relatively stable, waning trade lamb prices have been the major factor in the closing price gap between young and older sheep.
The National Trade Lamb Indicator decreased to 706c/kg cwt on Tuesday, the lowest point since April.
The strengthening of the mutton market is a trend that has been occurring for more than 12 months, with the main driver the strength of international demand.
China in particular is going from strength-to-strength as a trading partner, the destination for 42 per cent of 2019 mutton exports, while Malaysia and the US have also played a significant role.
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