Australian sheep farmers are cashing in on historic meat and wool prices, as average farm income for the sector hits a 20-year high of $170,000 this financial year.
So far in 2019 its lamb imports have climbed 19pc to 39,892, a rise of 19pc compared with the same period last year, while mutton imports have soared 59pc to 33,385 tonnes. During the past 12 months China has imported 126,522 tonnes of Australian sheepmeat, a 27pc rise year-on-year.
Sheep farmers derive their income from the sales of lambs and wool and related products. Though it varies by state and farm, most income comes from the sale of lambs. Dairy sheep farmers have three sources of income: lambs, wool, and milk (or dairy products).
The majority of Australia's live export sheep come from WA, and the proportion of Australia's live export sheep sourced from WA has increased over the last decade.
Australia exported live sheep to 15 international markets in 2019, most of which were located in the Middle East. The largest markets by volume were Kuwait accounting for 34% of live sheep exports followed by Qatar (24%) and Jordan (18%).
Trade lambs, 18 to 22kg, fetched from $187 to $220 to average around 970c. Heavy lambs, 26 to 30kg, sold from $250 to $279 to average from 925c while over 30kg lambs sold from $270 to $336 to average around 860c. Mutton prices were firm despite the sheep yarding increasing by 4261 to 14,010.
Sheep production worldwideIn 2013, the five countries with the largest number of heads of sheep were mainland China (175 million), Australia (75.5 million), India (53.8 million), the former Sudan (52.5 million), and Iran (50.2 million). In 2018, Mongolia had 30.2 million sheep.
Australia's 'typical' sheep farms were the most profitable (in US$ terms) on a whole farm profit basis (medium-term profitability) for 2018 (Figure 8), which they have achieved since 2014. This is predominantly due to their scale and incomes received from other enterprises (crops and beef).
There used to be 20 sheep for every person in NZ. Now the latest statistics from Beef and Lamb NZ show it has fallen to about seven to one, or about 30 million sheep. The sheep-to-person ratio is still higher than Australia's, where there are 74 million sheep to 23.5 million people — a ratio of three to one.
Currently the global sheep population stands at more than 1 billion head with 19 per cent found in Asia and Africa.
Kangaroo population estimates
| State | Red (Macropus rufus) | Eastern Grey (Macropus giganteus) |
|---|
| Western Australia | 638,185 | - |
| New South Wales | 3,972,522 | 5,258,104 |
| Queensland | 5,745,591 | 10,799,679 |
| Total | 11,514,298 | 16,057,783 |
Lambs are usually “tail docked just a few weeks after birth. Farmers claim this is to reduce buildup of fecal matter around the animals' backsides. But this cruel and painful mutilation is performed without anesthetics and often leads to infection, chronic pain, and rectal prolapse.
Prices have skyrocketed because of a simple case of supply and demand. An ongoing move away from sheep and toward cropping has also contributed to a lack of lamb supply — the national flock is estimated to be 65.8 million head, its lowest level in more than a century and down from 100 million 20 years ago.
Production and consumption figuresAmong EU nations, Greece is the per capita leader in consumption at 12.3 kg, while the UK's annual per capita lamb consumption is 4.7 kg. Outside of the OECD, the largest per capita consumer overall is Mongolia, with 45.1 kg.
Despite coming from the other side of the world, New Zealand lamb has traditionally been cheaper than the British variety thanks to low costs, high yield, lower rates of disease and a favourable exchange rate.
How to choose the right cut of lamb
- SHOULDER. This part of the animal works hard, so the meat from a lamb's shoulder is full of flavour.
- CHOP/RACK. Lamb chops or cutlets are the most expensive cuts of lamb, but are incredibly delicious and tender.
- LOIN CHOP. These are mini T-bone steaks cut from the waist of the lamb.
- RUMP.
- LEG.
- SHANK.
- NECK.
No matter what you require for your discerning customers, whether grassfed or organic, and with no added hormones or antibiotics, the Australian lamb industry has the right product for you. Australia's animal health status is arguably one of the highest in the world.
A typical Aussie barbecue is with sausages, burgers, steak, fresh seafood, bread and tomato or barbecue sauce, they sometimes include salad but it's mainly about the meat and fish (and of course a few stubbies – that's beer to the non-Australians).
Costco sells lamb raised without hormones or antibiotics. Costco imports lamb from Australia. Most Australian lamb is pasture-raised, mainly grass-fed and bred for tenderness.
The majority of lambs prepared for the Australian market are around 18-24kgs dressed weight range. Generally, the term 'lamb' refers to a sheep less than a year old, typically slaughtered between the ages of 4 and 12 months and 'mutton' is meat from a sheep that is older than a year, usually 3 years of age.
Most lambs are brought to market at about 6 to 8 months old. A lamb weighs about 140 pounds and yields approximately 46 to 49 pounds of edible lean retail lamb cuts, semi-boneless. If the phrase "Spring Lamb" is on a meat label, it means the lamb was slaughtered between March and October.
Slaughter: LambsThe majority of sheep killed in Australia are lambs, slaughtered around 6 – 8 months of age. Sheep can naturally live up to 20 years, with a typical lifespan of 10-12 years.
The definition of lamb is changing in Australia – from 1 July 2019. The current definition of lamb is 'A female, castrate or entire male that has 0 permanent incisor teeth'. The new definition is 'an ovine animal that: (a) is under 12 months of age; or. (b) does not have any permanent incisor teeth in wear.
Stunning. In most abattoirs sheep come along a narrow race to the slaughter area, electric tongs are placed on either side of the sheep's head, and are held there for around 2 seconds. The sheep is rendered unconscious and the 'stun' will last for around 45 seconds. Electrical stunning itself does not injure the sheep.
A sheep station is a large property (station, the equivalent of a ranch) in Australia or New Zealand, whose main activity is the raising of sheep for their wool and/or meat. In Australia, sheep stations are usually in the south-east or south-west of the country.
How are lambs raised? Lambs are usually "finished" (grown to maturity) in feedlots where they are fed specially formulated feed. While most lambs are finished on grains, some lambs are raised on pasture and are finished on grass instead of grains. Grass-finished lamb is usually distinguished on the label.
Sheep can be raised in a range of temperate climates, including arid zones. Farmers build fences, housing, shearing sheds and other facilities on their property, such as for water, feed, transport and pest control.
