Strong demand for all types of lamb has bolstered the sheep trade over the past couple of weeks, with some of the first sales this month up 45p per live kg on the year.

Such events are in contrast to the first auctions of 2023 when old season lamb values dropped as much as 20p per kg on the previous year.

This year, however, those in the know are reporting increased demand from buyers at home and abroad.

Head sheep auctioneer at Lawrie and Symington, Lanark, Archie Hamilton, said the trade is better than expected with a good market for light and heavyweight sheep of all types.

“Our sale at Lanark on Monday, averaged 275p per kg which is 45p up on the year and there is no sign of the trade letting up,” he said.

“Sheep prices have been ahead of what everyone expected all season because people have been putting lambs away when they’re ready instead of holding on to them.

“A lot of farmers have also sold earlier than usual and with a lot of the scannings being down south of the Border, last year, I don’t think there will be the same number of carry over this year, so prices should remain strong,” said Mr Hamilton.

Such has been the demand that heavy lambs well over 42kg have been selling at a premium.

“The heavier the lambs the more money they’re coming to,” he added pointing out that heavy ewes were also sharper on the week, with the cast sheep average up £1-£2 per head.

With a growing ethnic minority population, Mr Hamilton also remains positive that any imported lamb will have little impact on the overall trade.

“I really don’t think the UK will be polluted with New Zealand lamb as it’s being used up elsewhere when it’s not affecting the export trade here.”

While prices have slipped on the near record highs paid between Christmas and New Year, Oliver Shearman, managing director of Caledonian Marts, Stirling, said values are still well up on the year.

“Prices were exceptional during the festive period, and while they have eased off they are still dearer than what they were in November and early December.

"At 270p per live kg, there is a good margin for everyone in the chain,” he said.

“All types of lambs, including heavy entries are selling at improved rates and our store entries will be £5-£6 per head up on the year. Numbers are getting tighter too, so I can’t see any sign of the trade slipping,” added Mr Shearman.

While some live markets south of the Border have seen averages soar past 300p per kg, most centres in Scotland slipped earlier this week.

Figures from Quality Meat Scotland show an overall average of 289.54p kg for the week ending January 3, which compares to 242.10p for the same week in 2023.

Deadweight prices are also up, with the latest figures from AHDB revealing an SQQ of 615.6p for the week ending January 6 – a rise of almost 20p per dwkg on the previous seven days and a massive 80.8p on the same week in 2023.

Add in a smaller national UK flock and it looks like the sheep trade could remain positive for another year yet, with figures from Defra pointing to numbers down 4%. The report shows that the UK sheep flock stood at 31.8m head as of June 1, 2023, with female breeding numbers contracting 2.4% year on year to 15.4m. There is also a 6% reduction in the number of lambs aged under a year old which supports reports of a delayed lamb crop in 2023/24.