The price of British lamb has hit an all-time high due to the combined effects of many factor, stated recent reports.
According to the Agriculture and Horticulture Development Board (AHDB), wholesale prices have soared by more than 40 per cent year-on-year to more than £8.50 a kg. The amount of lamb expected to be produced in the country this year is forecast to shrink by 1.4 per cent.
David Swales, head of economic analysis at the AHDB, said that after 14 years at the agricultural body he had “never known a market like this”. He said lamb prices had risen so high that the group had been force to adjust its usual graphs.
“There is a perfect storm of issues coming together to create that market,” he said.
Cold and wet weather is thought to have led to more lambs dying in the early season. Additionally, there are fears of a wave of a dangerous virus in the south of England, Wales and the Midlands, Swales said.
Meanwhile, the demand in the past three months is up by 8 per cent after Easter and Eid, when families tend to make lamb a centrepiece dish.
The rising cost of British lamb comes as the price New Zealand lamb fell by about a fifth year-on-year to less than £3 a kg after a glut of Australian lamb on global markets and weak orders from China. Post new trade deals, lamb from Australia and New Zealand is also able to be sold more cheaply in the UK.
Following the high price rise of home grown lambs, Morrisons has said it would “trial” selling New Zealand lamb in 39 stores later this week, thereby dropping its seven-year commitment to selling 100 per cent British lamb.
“The trial follows an extensive exercise listening to customers who were very clear that they want us to sell lamb at a more accessible price all year round,” said a Morrisons spokesperson.
“The blunt commercial reality is that New Zealand lamb is cheaper to source, and therefore cheaper to sell, than British lamb. We will remain 100% British lamb on all our butchers’ counters, and the New Zealand lamb will of course be clearly labelled so customers in these trial stores will see the difference and can make a choice. We do not intend this move to mean a reduction in the overall volumes of lamb that we buy directly from British farmers.”
