Beyond the Saleyards: Tight WA livestock supplies support firmer prices

Recent analysis of Western Australia’s livestock processing data highlights two connected stories across sheep and cattle, both contributing to a firmer pricing environment.

In sheep and lamb, WA accounts for about 14 per cent of national processing volumes, yet it is operating off a materially smaller breeding base.

Estimates suggest WA has about 2.5 million fewer breeding ewes available for mating than in 2017 — a conservative figure.

That reduction is now embedded in the system, placing a structural ceiling on lamb supply and tightening availability outside peak July-November turn-off windows.

Near-term pricing signals reinforce this backdrop.

National lamb and mutton markets are, at worst, firm, and in some cases marginally stronger week-on-week — an unusual outcome for February, which has historically marked the beginning of softer supply conditions.

Instead, throughput appears well absorbed, and feeder lamb demand, particularly out of WA, remains robust.

Cattle dynamics remain more seasonal.

WA represents only around 2 per cent of national cattle processing, but closer to 25 per cent of national live export volumes, highlighting its export-driven role.

Across northern Australia and the north of WA, seasonal conditions continue to heavily influence annual turnoff and herd direction.

Importantly, farm-gate pricing across both species has been relatively strong.

Producers committed to livestock production are being well rewarded.

Looking ahead, sheep supply appears structurally constrained, while cattle volumes remain season-dependent.

Across both species, disciplined supply and steady demand are supporting a firmer outlook than historical seasonal patterns might suggest.