Strong demand for Australian lamb has seen prices increase 30% since the start of 2014 to USD 515/100kg from USD 398/100kg, pushing prices up to their highest levels since 2011. According to commodities analyst Mintec dry weather conditions over the past few months resulted in a greater number of animals being slaughtered as a result of reduced grazing land, and increased feed costs. However high export demand has driven prices upwards with February 2014 seeing the highest lamb export volumes on record at 19,200 tonnes, up 9% year-on-year. Supplies are expected to tighten going forwards as the number of lambs fell by 9% at the end of February to 2.3 million heads.
(Source – http://www.blackseagrain.net/novosti/australia-lamb-prices-expected-to-soar)