Australian Livestock Market Outlook: Strong supply, export growth and emerging talent.

The Australian livestock industry has entered 2025 with robust supply levels, increasing export demand and while challenges persist the long-term outlook for producers remains positive.

Ethan Woolley, Market Insights Lead for Nutrien Ag Solutions, reports supply has been ahead of schedule, with 14% more cattle entering the nation’s sale yards compared to last season.

“The influx of cattle has softened prices from December highs, but young cattle prices remain about year-ago levels,” Woolley said. “Similarly, trade lamb prices continue to track higher than last year and are maintaining a strong premium to mutton, particularly in response to dry conditions in Southern Australia.”

The last 5 seasons have shown from the start of February mutton prices have averaged a 4% improvement on the run to April, but in 2025 the mutton indicator is 16% higher than it was at the start of February which is the best it’s been since 2020.

“The split of sheep to lambs at the sale yards this season is 37% to 63% which is on track with seasonality but the number of sheep to the yard’s year to date (1.29 million head) is 11% higher than last year,” Woolley reports.

“Despite this supply pressure mutton prices remain in relatively good shape. Mutton values now sit 71% higher year on year at 408c/kg cwt.”

With strong supply levels and growing export demand, the processing sector contuse to invest in capacity. Following a record year for lamb production and slaughter in 2024 processor demand for sheep meat remains high. The latest MLA projections indicate cattle slaughter will rise by 2.8% in 2025, reinforcing the industry’s adaptability to evolving market conditions.

Adam Mountjoy, Livestock and Wool Manager for Nutrien echoed this sentiment.

“Producers who have been strategic with their stock management are in a good position to capitalise on market opportunities. Were seeing strong interest from processors who are looking to secure supply, which is helping to maintain confidence in the sector,” Mountjoy said.

Following herd rebuilds in recent years, Australian’s red meat production has surged, aligning with heightened global demand. Year-to-date beef exports have surpassed 247,000 tonnes (swt), a staggering 46% increase compared to the same period last year.

While the market dynamics continue to evolve, the industry’s future leaders will be on display at the ALPA Young Auctioneers National Competition at the Sydney Royal Easter Show. The competition brings together young auctioneers from across Australia, highlighting the essential role they play in livestock marketing and trade.

“Developing the next generation of auctioneers is critical to maintaining strong and competitive livestock markets,” Mountjoy said. “These young professionals ensure that producers achieve the best possible outcomes when selling their stock, making competitions like this invaluable to the industry.”

“With supply levels at record highs, a strong processing sector, and growing export opportunities, the Australian livestock industry is positioned for a promising year ahead. The ALPA Young Auctioneers National Competition underscores the industry’s commitment to developing skilled professionals, and we wish all the finalists good luck,” Mountjoy concluded.