 |
 |
 |
|
 |
|
 |
|
 |
|
 |
|
 |
|
 |
|
 |
|
 |
|
Piquet Hill Stud Update: 2009/2010
A major price adjustment in the sheep market has taken place in the last year, driven by increased international demand, a shortage of lamb and depreciating exchange rate.
The New Zealand market for beef and lamb is reflecting substantial, increased returns
in the market place. Both have been heavily impacted in the last two years by the high
exchange rate which is now on the downward path.
The position of lamb, in particular, as a "top shelf" product in the world protein markets, is well known. The future for lamb looks excellent. There is now a shortage of lamb in virtually all markets internationally.
As sheep numbers declined in the last two years the reverse is now taking place with the retention of ewe lambs to rebuild the national flock. This will create a continuing shortage of lamb in the market.
We are seeing average returns of $80-$100 for mid-season lambs and in excess of $125
for winter lamb. With the shortage of lamb in the international market, we can see no
reason for this to change.
Major outbreaks of Facial Eczema in the North Island this year reinforce the fact that
FE tested rams are a worthwhile and cost effective investment.
We still come across dramatic losses from Facial Eczema. One such example is a Central North lsland farmer who this year lost a third of his breeding ewes from FE. The
awful truth is that this sort of disaster is totally avoidable using FE tolerant rams.
His neighbour had virtually no Facial Eczema, having used Piquet Hill Rams for the last
10 years. This example speaks for itself.