Closing with a year-on-year €1.27/kilo of weight (66.89¢$/lb.) in Spain, while Germany has €1.20/kilo (63.21¢$/lb.)

The last six months of the year have actually been negative for the European pork market. The price has fallen in Spain this semester by 31 per cent of its value, while Germany has gained 29 per cent.

There is a strong supply of animals in Spain, as in the rest of Europe, with Germany in the lead. It is expected that during January the balance between supply and demand can be balanced and there will be an increase in slaughter as there are no holidays this month.

The slaughter is increasing gradually, since there are plenty of animals available and with high weights. This is a common trend across the European Community.

It is noteworthy that in the first 10 months of 2014, Spain increased its slaughter by 3.4 per cent in a number of animals and by 4.1 per cent in meat produced.

This means 1.2 million more pigs were slaughtered than last year in the same period and 118,000 tons more meat, overtaking these numbers by 4.7 per cent to the average of the last five years.

Regarding EU export, note that even though during October 2014 there was a decrease of 3.5 per cent from the previous year, the accumulated value from January to October closed with a decrease of 5.6 per cent compared to same period of 2013.

The Russian embargo remains the origin of this decline. However, exports to Japan have increased by 41 per cent year, though October was lower than the previous year.

As for China, despite its low prices, it has increased its imports by four per cent in the first 10 months of 2014; this has been mainly influenced by the price collapse in the European market after the summer.

At this time the Asian markets are not pulling in exports, but the depreciation of the euro against the dollar and the lower value of the price of pork, will make pork more competitive in Europe.

Obviously this year there will be higher competitiveness. Spain has become the third largest exporter of pork in the EU, increasing by 25 per cent its exports to third countries in 2014, so begins the year with an excellent positioning for export.

The Portuguese market starts 2015 with prices well below 2014. The Bolsa de Montijo has no fixed price, but follows in the footsteps of European markets, and especially in Spain.