Sheep and lamb prices have remained at some of the lowest levels in nearly two decades, with drops of more than $100 per animal at the Cowra saleyards in recent weeks.
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Medium weight Merino ewes last week sold for an average price of $24-29 a head, with small-weight ewes selling for as low as $14. Prices for medium lambs have dropped by 37 per cent, with heavy lambs selling for $50-70 less than October last year.
Recent Cowra yardings have been lower than usual, but at Stephen Tamplin's micro-abattoir near Canowindra, he has received "more enquiries than we've ever had."
"I've never had to make a waiting list before," Mr Tamplin said.
"We're not taking any new orders until at least November.
"The way prices have crashed means that the sale price is often less than the cost of production, people are trying to get some value clawed back into their animal," he said.
RaboResearch associate analyst Edward McGeoch says sheep slaughter numbers are at their highest in almost 20 years, up by as much as 85 per cent compared to last year.
"We're going from last year's lambs at very high numbers into new season lambs at high numbers and the market is not getting any respite." he said.
"That said, these numbers of sheep are still not as high as what we saw hitting the market back in late 2018 and early 2019 when dry conditions were very severe."
Dryer conditions are front of mind for members of the Australian Meat Industry Council, with low saleyard prices across the country signalling a shift in the market ahead of the summer.
"While drought creates the short-term influx of supply we are currently witnessing, ideally processors would like a sustained and steady increase in turnoff," AMIC's General Manager of Industry Affairs, Tim Ryan, said.
Despite the low saleyards price for sheep, wool prices have remained relatively stable.
Wayne Beecher of Beecher Wool in Cora says while prices have "bottomed out," 19-micron and 28-micron wool remains well into the 70th decile and upwards.
"In the last 20 years, it has been much worse than this," Mr Beecher said.
"It is starting to look like we're pulling out of the doldrums."
The lower supply of wool, due in part to "a pretty tough period" for sheep sales, could help rectify prices, Mr Beecher said.
"All we need is a change in demand ... then all of a sudden you can see prices move up pretty well. We're looking ahead to a pretty positive situation."
