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EU Pig Prices: Still Feeling Like a Roller Coaster Ride

EU - Two weeks of increasing prices have passed since the beginning of this year. Now that the third calendar week has begun, the prices are going down again in many EU member countries.
calendar icon 20 January 2017
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The German slaughter companies in particular were the ones to trigger the change of direction. They have been complaining loudly about decreased margins between purchase and sale.

Weak meat sales on the home market and the slaughter companies’ lacking readiness for cold storing of large quantities of meat at the currently valid price made the numbers of slaughter go down considerably. Demand for pigs for slaughter was correspondingly hesitant. Both the Belgian and Austrian quotations joined the inevitable 5 cents’ price decrease. The Dutch pig keepers had to cope with a 3 cents’ price decrease. Yet, the previous 3 cents’ price increase had also been smaller.

The French prices have remained remarkably stable. One French market participant said that currently the quantities of pigs on offer in France were quite few. The slaughter weights had gone down and the prices could thus go up by 1 cent despite demand being weak in the meat business. In Spain and Denmark did not show remarkable price changes over this current week. From what is heard, both countries are benefitting from demand from China being quite well at present on a quantity basis.

Trend for the German market:

As is typical for the present market situation, the quantities on short call have increased again because of the price decrease. Marketers report on very manageable numbers of registered pigs for slaughter in view of the second half of the week. Thus, from today’s point of view there is justified reason for hope for the prices to stabilise on the current level.

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