The slaughter pig supply is reported to be of quite some size but is nonetheless demanded swiftly by the slaughter companies in many countries.

In Denmark the quotation went into reverse, quoting minus 3 cents for this week, after an eight weeks’ period of constant prices. A 1 cent minus was reported from Great Britain, and the Swedish corrected price went down by 1.5 cents as a result of changes in the exchange rate. It is true that the price given by the producers’ association for livestock and meat went up by 2 cents in Germany. But the slaughter companies responded to that with significant resistance. On Friday afternoon already, Toennies and other major slaughter companies announced that they would not take part in this increase. Instead, they plan to pay a house price only of EUR 1.53 per kg this week. It needs to be noted that this week Westfleisch is not going to pay a house price, just as they did three weeks ago.

Trend for the German market: Although the slaughter companies pursue a policy of making house prices, the usual quantities on offer can be placed smoothly. It remains to be seen for the week ahead which one will prevail: the positive market assessment made by the producers or the massive blockage performed by the slaughter companies. From today’s point of view, everything seems possible. In any case it needs to be stated that the current price level is a ruinous one for both the piglet producers and the pig feeders.

Explanation
¹corrected quotation: The official Quotations of the different countries are corrected, so that each quotation has the same base (conditions).
base: 56 per cent lean meat; farm-gate-price; 79 per cent killing out percentage, without value-added-tax (VAT)