EU Pig Prices: Increases in France, Spain16 April 2014
EU - This week, the development of quotations on the EU slaughter pig market is predominantly encouraging.
The most considerable rise in prices was observed in Spain and France with their 6 cent’s increase per kg slaughter weight, compared to last week’s prices. From both countries demand for pigs and pork is reported to be very good.
This, on the one hand, is attributed on to domestic demand that usually increases at this time of the year as a result of the holiday season; on the other hand, exports towards Asia are going well.
Slaughter companies from these countries, however, complain about the gap getting ever larger toward the German quotation and the decreasing competitiveness of their products related to it.
The German quotation went up by no more than 2 cents; yet this price increase is not being accepted by all slaughter companies.
In the countries neighbouring Germany, considerable price increases could not be enforced as well.
From Austria and the Netherlands, reports are coming in about unchanged prices. Belgium records a 1-cent price increase.
Danish Crown’s quotation in Denmark is hard on the German quotation’s heels. By this company, the payment prices for pigs mature for slaughter were increased by near to 3 cents.
Trend for the German market: Being on a collision course, the slaughter companies have created some degree of uncertainty among producers. Demand for slaughter pigs covers the companies’ needs at present. Hope arises with good weather prospects for the Easter holiday. Given that the demand for pork starts up again, no negative effect should arise from the missing days of slaughter over the weeks to come. Payment prices are expected to at least stabilise.