LIVESTOCK sellers' uncertainty about COVID-19's impact on the supply chain meant many SA markets were flooded with stock last month, but as the industry begins to accept its new restrictions, agents have labelled the resilience shown by markets "phenomenal".
After saleyard attendance protocols meant an unprecedented decline in market spectators during COVD-19, it was expected sheep and lamb prices in particular would plummet, but the market has managed to hold.
Nutrien Ag Solutions head auctioneer at Dublin saleyard, Glen Keast, said lambs made a $30 a head gain last week, but on Tuesday, heavy export lambs had dropped $15-$20/h.
"Vendors have offloaded lambs and supply has increased, exporters are also finding it difficult to shift product and its caused slightly decreased prices," he said.
"The market holding is phenomenal though, agents and vendors were initially very worried prices would fall out the back - we expected heavy lambs to drop to $130/h but we have maintained about $220/h."
Mr Keast was also pleasantly surprised the restrictions had not stopped buyers from operating or attending markets, ensuring sales could continue to be held.
The offloading of livestock at South East saleyards also increased last month according to Elders Naracoorte agent Tom Dennis, after about five weeks worth of stock were sold in just two weeks.
"The surge happened after vendors panic sold," Mr Dennis said.
"There was fear that processors would be forced to shut down, so producers sold what they could and rather quickly," he said.
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Despite an upward price trend and competitive bidding for most sectors at the Naracoorte market in the past two and a half months, Mr Dennis said prices had since "corrected" slightly.
He said major processors had committed to "keeping kills at full capacity" but as saleyard numbers surged, processors could not absorb the high levels of stock being offered.
"Although an undercurrent of this has continued, it has settled down and industry is trying to keep the wheels of commerce turning while still looking after each other - that would encapsulate the industry vibe at the moment."
Mr Dennis said restrictions on saleyards had been "tough" but industry had adapted and been firm with its new protocols.
He also expected that the livestock industry's next three to five years would not be "business as usual".
Pro-Stock Livestock's Clint Endersby operates the Southern Livestock Exchange at Mount Compass and said a live-stream buying platform had meant there was limited impact on bidding competition.
"We have graziers bidding through an online system and the protocol we put in place for attending the saleyards meant that those whom were genuine about securing stock, could attend," he said.
"We chose to not introduce an agents only rule at markets because not everyone was comfortable with that and our ring-selling format made adhering to restrictions a lot easier.
The Mount Compass market was not immuned to a rise in stock numbers at Easter.
"We have seen quality trade cattle come back in price because of logistic issues selling the meat at the other end," Mr Endersby said.
But, he said stock numbers had since reduced.
"It is not a case of oversupply, vendors have sold early through uncertainty and numbers will drop off dramatically soon," he said.
Pinkerton Palm Hamlyn & Steen Naracoorte agent Jason Mahney said downward pressure on prices could be rectified in the coming months, if SA's restaurant and pub restrictions were eased.
"If meat orders begin to pick up again, it will help people who still have livestock and increase prices," he said.
Mr Mahney also said yarding numbers had recently dropped.
"When we had an influx of numbers, processors could handle it but they have since backed up a fair bit," he said.
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