Record export prices of lamb in New Zealand at NZ $13.83 ($8.41) a kg have brought processors huge returns but farmers are yet to maximize.
According to the Farmers Weekly on July 3, 2025, although farm gate rates are also strong due to tight supply, they could be better.
As of June 2025, farmers were receiving NZ$9.55 ($5.80) a kg for lamb, which needs NZ¢10 ($0.061) more to match current export rate profits.
Concerning which, export prices reached a point of no return in May 2025 by rising ¢23 ($0.14) above the record NZ$2.76 ($1.68) of Q1 2022.
Since the handsome offers have stabilized during the Southern winter, analysts expect them to peak after September based on historical patterns.
So far in early July, farm gate processors are paying sheep farmers 70% of the export rate in the sheep-rich North Island.
This means that farmers could continue to earn NZ$9.70 (5.90)/kg on the island as long as export rates hug NZ$13.80 ($8.39) – projects AgriHQ.
Ironically, ANZ World Commodity Price Index of June 2025, which tracks meat and other exports, shows local commodity prices fell -2.3% from May. The fact that they left lamb export rates unscathed means it is the one commodity that is currently doing well.
National Flock Down 10% D-o-D
Helping along in keeping prices stable is a slump in the national sheep count by 21%, decade-on-decade (d-o-d), up to 2025.
According to Radio New Zealand on June 28, 2025, sheep numbers in NZ have fallen this decade to 23.6 million head.
The same goes for the number of sheep on farms, which have plummeted from 22 head per household (1980s) to 4.5 head (2020s).
Despite benefiting exporters with robust pricing, the flock decline has hit hard on lamb meat processor volumes. A leading processor cites a 9% yearly fall in slaughter sheep as of 2024.
Interestingly, processors remark of high earnings due to supply pressure-related good pricing but caution of plunging population totals.
So, where next for export prices of lamb in NZ and the lagging farm gate equivalents in the coming months? The statistics below explore some answers, based on previous records and a comparison with other sheep-rearing nations.
NZ Export/Farm-gate Lamb Prices Statistics
New Zealand is not only a top producer but a leading exporter and consumer market of lamb. 2019 production hit 449,036 tonnes, the third highest after China and Australia. In terms of consumption, the country ranked 8th globally in 2022 at 13 kg of lamb per person per year. Prices, on the other hand, are comparably lower than those of rivals in Europe and the United States, per the data below.
Which historical period had the highest lamb export rates for NZ?
In May 2025, lamb export prices from New Zealand to key markets in Europe rose by over 40% above the 2021-25 median. Prices peaked at NZ$13.80 ($.8.39) a kg in May 2025, an unbeaten record surpassing a previous record March 2022 rate.
How do NZ’s sheep rates compare to those of other nations?
Pricing of live sheep in New Zealand is a matter of season, with rates highest in the September-October peak. They are generally cheaper than those of the UK and the U.S. In March 2025, NZ’s export sheep averaged A$7.65 ($5.03) per live-weight kg while the U.S.’ clocked A$9 ($5.91) in October 2024. In March 2025, UK sheep were selling at 746.7 pence ($10.2)/kg, per the Agriculture and Horticulture Development Board (Ahdb).
How do farm gate prices of lamb in NZ compare with the UK’s?
Regarding farm gate rates, New Zealand has generally cheaper lamb than the UK. In June 2025, for instance, Kiwi rates were at NZ$9.55 ($5.80)/kg vis-á-vis over 730.5 local pence ($9.96) in Britain.