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EU Pig Prices: Demand from Slaughter Companies

by 5m Editor
7 February 2012, at 10:07am

EU - The shortage in supply, which is even intensified by the current pan-European cold spell, still characterises the current week’s EU pig market conditions.

As a consequence, the quotations went up in most of the countries, respectively stabilised on the level achieved. France was able to record the largest plus (6 cents) compared with last week’s results. Demand by slaughter companies has been enhanced considerably over the past two weeks, because the exports towards third countries slowly gather pace again. The prices also went up in Spain (+ 4 cents), Denmark (+ 3 cents), Italy (+ 1 cent) and the Netherlands (+ 1 cent). Austria and Belgium both reported unchanged quotations.

In some places in Germany, pigs were not available in sufficient quantities over the past weeks to be sold to the slaughter companies, although several slaughterers had already reduced the quantities of pigs they slaughtered.

In light of the scarce supply being connected to the low temperatures and the pig feeders’ little readiness related to it to move the pigs out of the stables, the market was estimated to be steady, and no price increases were reported. So, what’s even more astonishing is the action taken by the major slaughter companies to make strike prices for this week. R

eportedly, VION, Danish Crown, Toennies and Vogler reduced the pay-out prices by -4 cents.

Trend for the German market: The major slaughter companies obviously speculate on a pile-up in supply in the fattening houses to be caused by the currently prevailing winter temperatures as a result of which the slaughter companies might exert downward pressure on the prices, contrary to the market situation. Yet, there are the small quantities of pigs mature for slaughter on offer all over Europe.

There are reports from market participants that pigs are hardly sold at strike prices presently. Nevertheless, the market situation, which actually is quite stable and balanced, was strongly upset by this kind of action.

Week D NL DK B F PL CZ IT ESP AUT GB SWE IR
Week 51 1.576 € 1.522 € 1.561 € 1.544 € 1.539 € 1.632 € 1.677 € 1.829 € 1.546 € 1.479 € 1.717 € 1.151 € 1.411 €
Week 52 1.496 € 1.446 € 1.534 € 1.482 € 1.499 € 1.613 € 1.674 € 1.778 € 1.527 € 1.417 € 1.697 € 1.107 € 1.411 €
Week 01 1.496 € 1.446 € 1.534 € 1.482 € 1.473 € 1.568 € 1.622 € 0 1.502 € 1.396 € 1.658 € 1.114 € 1.411 €
Week 02 1.406 € 1.369 € 1.493 € 1.421 € 1.465 € 1.533 € 1.589 € 1.665 € 1.493 € 1.335 € 1.630 € 1.070 € 1.411 €
Week 03 1.406 € 1.369 € 1.466 € 1.408 € 1.440 € 1.469 € 1.547 € 1.665 € 1.470 € 1.335 € 1.570 € 1.064 € 1.411 €
Week 04 1.496 € 1.455 € 1.466 € 1.482 € 1.440 € 1.466 € 1.560 € 1.551 € 1.470 € 1.417 € 1.523 € 1.077 € 1.411 €
Week 05 1.546 € 1.503 € 1.466 € 1.532 € 1.497 € 1.534 € 1.560 € 1.557 € 1.502 € 1.468 € 1.494 € 1.063 € 1.411 €
Week 06 1.546 € 1.513 € 1.493 € 1.532 € 1.558 € 0 0 1.563 € 1.545 € 1.468 € 1.529 € 1.069 € 1.411 €


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)


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