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 High prices, but high demand 

High prices, but high demand

14 Jan, 2010 01:00 AM
DESPITE the sharp rise in sheep export prices over the past eight months, demand for Australian sheep in the Middle East is still strong.

And this demand is not expected to drop off, according to Livecorp livestock services manager Peter Dundon.

Mr Dundon, who is based in Bahrain, said if Australian producers were debating whether they should be sticking with sheep or not, he would strongly suggest they do.

“While there is some resistance to the higher prices, importers are still keen to source Australian sheep simply because of the food security issue,” Mr Dundon said.

“While the fact that there are higher prices has seen some importers look to northern Africa to source sheep, no one can guarantee supply like Australia can.

“Bahrain demands 2500 sheep per day and Australia supplies 95 per cent of that market.

“If the trade to Bahrain stopped tomorrow, a whole lot of people would not have access to fresh meat.

“Somalia is probably our biggest competitor and is closest to Australian sheep in price, but Somalian sheep are about half the weight. They dress out at 11 kilograms as opposed to Australian sheep that have a 21kg-23kg carcase weight.

“Northern African countries also continually have issues with Foot and Mouth Disease and Rift Valley Fever and that disrupts supply.”

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