The current strength of lamb and ewe prices is encouraging flock owners to keep less sheep, according to the Ulster Wool chair, Brendan Kelly.
“This is particularly the case with older farmers. Obviously, this means a reduction in wool output,” Kelly said.
Kelly went on to confirm that wool throughput is a key factor in determining the price paid to farmers for the fleeces they offer for sale.
He continued: “As a group, along with British Wool, we handled 2,500t less wool in 2023, primarily due to lighter fleeces.
“Our typical farmer member delivered 10% less wool in 2023 than in 2022. The decline in wool volumes reduced our returns by around 7p/kg. If we had handled the same weight as the previous year, many grades would have been up 20p per fleece.
“Every additional 500t of wool that we handle improves returns for all members by 1.5p/kg.”
Obviously, a projected fall-off in ewe numbers over the next 12 months, and possibly beyond, will further reduce the economies of scale that British Wool can achieve on behalf of sheep farmers.
The securing of bespoke support arrangements for Northern Ireland’s sheep sector is another priority for Brendan Kelly.
Ulster Wool
As a member of the task force, specifically established to chart a course for the future of the sheep sector in the north, Kelly is conscious that new schemes to be introduced over the coming year or so have a very strong beef focus.
The reliance of the sheep sector on what was the single payment has long been recognised.
The new support models for Northern Ireland dramatically reduce the size of what will become a farm sustainability payment.
“Members of the task force have made the strongest case possible for the introduction of additional support systems, targeting the sheep sector,” Kelly said.
Meanwhile, Department of Agriculture, Environment and Rural Affairs (DAERA) officials have indicated that a ring-fenced fund to be targeted at Northern Ireland’s sheep industry is available.
This should allow for the development of new, bespoke support measures.
Members of the task force have expressed their frustration at DAERA for the lack of progress around future sheep schemes, when considering future agriculture policy.
Currently, farmers in NI are worse off than their counterparts in the rest of the UK and the Republic of Ireland in terms of support.
Sheep farming is widely recognised as a key part of the north’s agricultural economy and a key element in countryside management to benefit the environment.
