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Slow Shouts, Slow Spot

10 December 2012

UK - A slightly underwhelming day for sellers with the DAPP virtually motionless at 160.46p and all of the big five shout price abattoirs standing-on, writes Peter Crichton.

Traffic lights spot, DAPP, Europe reference


163p Woodhead
160p Gill
159p Tulip and Vion
158p Cranswick

Spot buyers were noticeably quieter than a week ago and although one or two were still prepared to operate in the 162p–164p range, later in the day spot bacon prices drifted down to 160p.

On a more positive note however, very few pigs were rolled with virtually everything in the system being cleared up, which augers well as the short Christmas and New Year weeks approach.

Probably the biggest disappointment of the day was in the cull sow market where prices dropped by up to 6p/kg and most sows were traded on a delivered price basis of between 107p–110p, not helped by the euro closing at slightly easier levels trading on Friday at 80.71p compared with 81.28p a week ago.

The weaner market continues to reflect a certain amount of optimism for finished pigs and pig prices in the months ahead with the latest AHDB 30kg ex-farm weaner average rising again to £46.06/head and reports of 7kg pigs being fairly readily traded in the £32.50-£35.00/head range.

On the other hand feed prices continue to cause havoc with producers' profit margins and feed wheat is currently trading in the £215/t ex-farm region and futures prices for January through to July are between £225/t and £228/t.

Reports of rising levels of imported pigmeat are also casting something of a shadow over the market and a brief glance at recent statistics indicates that European Union mainland producer prices have fallen from 151p in October to 138p now.

It will be interesting to see early next year to what extent retailers decide to audit imported pigmeat to ensure that it comes from non-stall systems, which in some European Union countries may not be the case.

Trafficlights Peter Crichton

ThePigSite News Desk

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