Australia: Cheap sheep runners could drive sausage trend

Published Apr 11, 2024

Tridge summary

Sheep runner prices have plummeted to a four-year low, averaging $2.20 each, potentially leading to more affordable sausages if these savings are passed onto consumers. This decline is due to an increase in lamb and sheep slaughter numbers, reducing the cost of sausage production inputs. In contrast, tallow prices have fallen significantly to below $1300 a tonne, a drop of over 30% since December 2022, driven by decreased demand in industries like cosmetics amid economic challenges. However, the prices for secondary cuts such as tripe, liver, tail, and tongue have seen an uptick over the past year, indicating a rising interest in these products in both domestic and international markets.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

A four-year sheep runner price low could lead to cheaper sausages at the butcher shop if cheaper costs are passed on to shopper. It comes as offal prices continue their downward glide. Meat & Livestock Australia's latest co-product reports for March and April highlight the downward trends, which are largely being driven by a combination of strong supply and decreased demand. Sheep runners are currently fetching an average $2.20 a piece, on par with 2020 prices. The drop in pricing is being attributed to the boom in lamb and sheep slaughter numbers and is expected to lower input costs for sausages. But the pricing has not yet reached the lows reached in late 2019, when sheep runners went down towards $1 after being as high $4.60 in 2018. During the high supply period in 2016 sheep runners were selling for $2.07. MLA markets information officer Stephen Bignell said if the price reductions are passed on to consumers, it could make sausages a more appealing option. "One of the key ...

Source: Farmweekly