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AHDB Pig Market Weekly

18 June 2012

AHDB UK Market Survey - 15 June 2012AHDB UK Market Survey - 15 June 2012

Finished pig prices continued their seasonal upward trend in week ended 9 June.


Pig market trends


Finished pig prices continued their seasonal upward trend in week ended 9 June. The DAPP EU Spec has increased by over a penny since the beginning of May to average 149.45p per kg. This comes despite changeable weather curtailing barbecue demand. Supplies have been plentiful since the turn of the year, with throughputs comfortably above 2011 levels. Carcase weights have also been heavier than in the first few months of last year.

For week ending 16 June the average 30kg weaner price eased back by a few pennies for the sixth consecutive week to average £43.15 per head. This year, high feed costs are again limiting the willingness of finishers to take increased numbers of weaners. The prices of weaners are at their lowest level since early December.

DAPP sample increases

Following discussion by the BPEX board, the sample of the dead weight average pig price has been expanded to cover a broader spectrum of the pig market. The DAPP will now be produced using information from eight processors covering 15 sites. These are H G Blake, Cheale Meats Ltd, Cranswick Country Foods, F A Gill, Tulip Ltd, Vion, G Wood & Sons and Woodhead Bros.

BPEX will be looking to expand the sample of participating abattoirs even further in the coming weeks.

Retail price spreads

The average farmgate pig price in May was 149.0p per kg, two per cent higher than in the month previous. Over the month, the average retail price only increased marginally. As a result, the gap between producer and retail prices decreased slightly to 60.5 per cent. This means that producers received an average of 39.5 per cent of the retail price which is marginally more than in April but one percentage point less than at the same point last year.

Although the average price of pork was little changed on the month there were some price movements in selected cuts. The largest price increase was for pork fillet, which increased three per cent on the month. Boneless shoulder joints and loin steaks were both two per cent dearer than they were in April. In contrast, diced pork was noticeably cheaper, with the average price more than two per cent lower than in the month previous. Compared with prices in May 2011 loin chops were less expensive, prices declined four per cent on the year. Prices for most other cuts were higher than a year earlier with the largest rises for minced pork, boneless shoulder joints and pork fillet increasing to the greatest extent.

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