It appears that one third of all lamb products manufactured in Iceland this fall will be exported, which is a considerable increase from last year, according to Sigurdur Eythórsson, managing director of the Association of Sheep Farmers.
Two things in particular are causing the increasing demand for Icelandic lamb abroad: severe drought in Australia, and changed emphasis of farmers in New Zealand, who increasingly are turning towards dairy farming, Fréttabladid reports.
Eythórsson said the weak exchange rate of the Icelandic króna enables importers overseas to purchase lamb from Iceland at a good price.
Earlier, lamb was exported only to get rid of it but now it has become an important source of income for sheep farmers, Eythórsson stated.
The main markets for Icelandic lamb are in Britain, Norway, the Faroe Islands, Spain and the UK. Most of the exported products are frozen while the US market is more interested in fresh meat. Accurate statistics on lamb export will be published next month.