The Coronavirus continues to impact on Australia’s lamb market as consumer demand remains uncertain, particularly in export markets, according to Rural Bank’s commodity insights update released this week.
Tony Williams, Rural Bank’s Regional Manager Agribusiness NSW, said various stages of Covid-19 outbreaks and recoveries are still being felt in key market areas, even though there have been some positive signs for lamb exports in recent months.
“Volumes to the United States have been trending higher year-on-year between June and September, and recovery of volumes to the Middle East since July,” Mr Williams said.
“But lamb prices are expected to continue trend lower, year-on-year, due to increased supply and subdued consumer demand in both Australia and export markets.”
The Eastern State Trade Lamb Indicator (ESTLI) increased by 20.8 per cent in September, a big correction following a 32.1pc decline between June and August.
“The recovery in prices, in conjunction with an increase in supply, indicate an improvement in demand,” Mr Williams said.Read full article Share on twitter