In contrast to years gone by, prime, old season prime lambs are enjoying a buoyant demand, with values 15-25p per live kg up on the year due to reduced numbers coming forward.

Prices have slowly but surely been heading north since the first week in January, with the total number sold in Scotland, on Monday, levelling at 194.6p per kg, a rise of 5.4p on the week, while those south of the Border levelled at the exact same price, which represented an increase of 10.6p on the same period.

Harrison and Hetherington's markets at St Boswells and Carlisle, enjoyed the best of the trade on Monday, with averages levelling at in excess of £2 per kg mark at 201.4p and 204.6p – up a massive 12.7p and 15.9p on the week, respectively.

"Lambs of all specifications were a good trade and it looks as if it's all down to numbers," said St Boswells sheep auctioneer, Adam Grieve.

"The top lambs on Monday were making £114 per head with some of these being well fleshed 50kg lambs, with many Beltex/Texels selling at 220-247p per kg. Mule wedder lambs were selling at up to £88.50

"Our numbers were probably back 500-600 on the year but there is a shortage of them in this area as a lot of farmers either finished their lambs or sold them store, earlier than what they would normally have done," added Mr Grieve, who pointed out that while the ewe trade was up slightly, leaner types are proving more difficult to cash.

It was a similar story at Craig Wilson's Ayr Market on Monday where Alastair Brown said prices peaked at £99 per head and 235.7p per kg, with an overall average of 194.3p, which represents a rise of 3.2p on the week and 25.2p on the year.

"The numbers are definitely not there – especially in this area," said sheep auctioneer, Alastair Brown.

"I know we sold some 5000 store lambs completely out of this area last year, purely because the weather was so wet – we had rain virtually every day from July onwards. Normally these lambs would have been sold onto Ayrshire dairy farms for finishing in the spring, but they're just not there this year. We're not getting the heavy lambs coming forward either because a lot of producers sold their lambs earlier in the season when the trade was good."

However, despite the buoyant demand, Mr Brown also pointed out that there are still too many lambs that do not have enough cover on them.

"About 20% of the lambs forward on Monday were not well enough fleshed, and making 150p per kg compared to the good covered lambs at £2 per kg plus," he said.

Further north at Aberdeen and Northern Marts' Thainstone Centre, head sheep auctioneer, Colin Slessor said that while the big numbers have still to come forward from this area, prices are well ahead of this time last year.

"It's good for the sheep trade. Our last sale would have been £10-£12 per head up on the year and we're not getting the big numbers out yet," he said pointing out that ewe trade is proving 'tougher' particularly for hill types which have slipped £5 on the month.

There was good news to come from AHDB this week too, which pointed out that the higher shipments of New Zealand lamb are not expected this year, despite the increased production down under.

So far in the New Zealand production year, which began in October, 132,275 tonnes of sheep meat have been produced – 17% more than the same period in the previous production year. Slaughterings during the first three months of the production year have totalled 6.5m head – 15% more than the same period of the 2016/17 production year, with carcase weights slightly higher to date.

With conditions for production in New Zealand proving more favourable, producers have been able to get their lambs off farm quicker than in the previous production year with the result that 55,420 tonnes were produced in December, 12% higher than the same month of 2016.

Overall sheep meat production for 2017/18 season there is forecasted to be similar to that in 2016/17, so based upon current trends, AHDB expect that production will be high in the first part of the year and fall back later on.

Last year, exports of sheep meat from New Zealand between January and November 2017 totalled 354,800 tonnes, 5% higher than the same period of 2016. Exports to China rose by 14% on the year, to 133,360 tonnes. Meanwhile, shipments to the UK slipped by 18% to 47,200 tonnes over the same period.

Hence, unless market conditions in Asia and Europe change dramatically, AHDB expects shipments of sheepmeat from New Zealand to repeat last year’s pattern, and remain lower than the historic norm during at least the first part of 2018.