Sheep and Goat Meat Price in Australia Shrinks Modestly to $5,975 per Ton

Australia Sheep and Goat Meat Export Price in November 2022

In November 2022, the sheep and goat meat price amounted to $5,975 per ton (FOB, Australia), declining by -8.5% against the previous month. Overall, the export price continues to indicate a pronounced reduction. The most prominent rate of growth was recorded in March 2022 an increase of 3.7% m-o-m. Over the period under review, the average export prices reached the peak figure at $7,733 per ton in June 2022; however, from July 2022 to November 2022, the export prices failed to regain momentum.

There were significant differences in the average prices for the major external markets. In November 2022, the country with the highest price was the UK ($8,731 per ton), while the average price for exports to Papua New Guinea ($2,597 per ton) was amongst the lowest.

From January 2022 to November 2022, the most notable rate of growth in terms of prices was recorded for supplies to the UK (+0.9%), while the prices for the other major destinations experienced more modest paces of growth.

Australia Sheep and Goat Meat Export Prices by Type

Average prices varied noticeably for the major types of exported product. In November 2022, the product with the highest price was goat meat ($6,413 per ton), while the average price for exports of lamb and sheep meat amounted to $5,959 per ton.

From January 2022 to November 2022, the most notable rate of growth in terms of prices was recorded for the following types: lamb and sheep meat (-2.1%).

Australia Sheep and Goat Meat Exports

After three months of growth, overseas shipments of sheep and goat meat decreased by -7.2% to 43K tons in November 2022. The total export volume increased at an average monthly rate of +3.7% from January 2022 to November 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth appeared the most rapid in February 2022 with an increase of 20% m-o-m. Over the period under review, the exports attained the maximum at 46K tons in October 2022, and then shrank in the following month.

In value terms, sheep and goat meat exports dropped significantly to $257M (IndexBox estimates) in November 2022. The total export value increased at an average monthly rate of +1.3% over the period from January 2022 to November 2022; however, the trend pattern remained consistent, with only minor fluctuations throughout the analyzed period. The growth pace was the most rapid in March 2022 with an increase of 22% month-to-month. As a result, the exports reached the peak of $327M. From April 2022 to November 2022, the growth of the exports remained at a lower figure.

Australia Sheep and Goat Meat Exports by Type

Lamb and sheep meat (41K tons) was the largest type of sheep and goat meat exported from Australia, with a 96% share of total exports. Moreover, lamb and sheep meat exceeded the volume of the second product type, goat meat (1.5K tons), more than tenfold.

From January 2022 to November 2022, the average monthly rate of growth in terms of the volume of export of lamb and sheep meat stood at +3.7%.

In value terms, lamb and sheep meat ($247M) remains the largest type of sheep and goat meat exported from Australia, comprising 96% of total exports. The second position in the ranking was taken by goat meat ($9.9M), with a 3.8% share of total exports.

From January 2022 to November 2022, the average monthly rate of growth in terms of the export volume of lamb and sheep meat totaled +1.5%.

Australia Sheep and Goat Meat Exports by Country

China (15K tons), the United States (9K tons) and South Korea (2.1K tons) were the main destinations of sheep and goat meat exports from Australia, together comprising 60% of total exports.

From January 2022 to November 2022, the most notable rate of growth in terms of shipments, amongst the main countries of destination, was attained by China (with a CAGR of +6.7%), while the other leaders experienced more modest paces of growth.

In value terms, the largest markets for sheep and goat meat exported from Australia were the United States ($76M), China ($61M) and South Korea ($18M), with a combined 61% share of total exports. The United Arab Emirates, Malaysia, Japan, the UK, Canada, Singapore, Taiwan (Chinese), Saudi Arabia and Papua New Guinea lagged somewhat behind, together accounting for a further 26%.

Among the main countries of destination, Singapore, with a CAGR of +4.9%, saw the highest growth rate of the value of exports, over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Factors Affecting Sheep and Goat Prices

The average price for sheep and goat meat in Australia has remained fairly stable over the past few years. However, there are a number of factors that can impact the price of these meats.

Sheep and goat meat is an important part of the Australian diet, with many people consuming it on a regular basis. The price of sheep and goat meat can vary depending on a number of factors, such as the time of year, the availability of supply and demand from consumers. In addition, the price of sheep and goat meat can also be influenced by government policies and subsidies.

Australian producers are currently facing strong competition from overseas suppliers in both the domestic and international markets. In addition, the high cost of feed grains has put upward pressure on sheep and goat meat prices.

Source: IndexBox Market Intelligence Platform