Prices had dropped back to $3.20 a kilogram dressed weight for November 10 delivery of 20kg plus lambs, and $3/kg for 18-20kg lambs.

These rates paled in comparison to the heady heights of August, September and early October last year, when direct prices were about $4.20-$4.60/kg.

At those rates, many producers opted to sell their early drafts at lighter supermarket specifications, rather than grow them out to export weights, with a dry spring being a major concern.

While prices soon took a nosedive, they were still above the low $2.50-$2.70/kg available in late 2007 – prices which had many pundits wondering if rates would ever rise above $4/kg again.

But producers did not have to wait long, as a perceived shortage led to prices lifting to $3.50/kg in the first week of December.

This was followed by a rise to $3.80/kg shortly thereafter.

The elusive $4/kg mark was reached by processors and the supermarket chains the second week of December, with $4.30/kg being paid by mid-December.

During this period, there was some very good late rainfall that spurred on solid restocker and feeder activity in the saleyards, even though most of these purchases were below $70 a head.

January direct prices then stabilised at about $4.30/kg, and then went up and down like a yo-yo back to $4/kg and slowly back up again, ensuring there was some hesitation among speculators.