Large offer cuts price sow, pigs stable

The European pork market is still full. Although the meat trade received a small boost at the beginning of September, it ultimately lagged behind expectations. Exports are slow. The fact that the meat market has not deteriorated further at first may still feel like a win.

Slowly increasing supply
A significant risk to the current stability on the meat market is the seasonal increase in the supply of pigs for slaughter. The number of animals processed in Germany increased again last week, albeit slightly, to more than 843.000 animals. The average slaughter weight remained stable at 97,2kg.

There are still few indications that could give pig prices a boost. Yesterday, Marc van Rooi, director of Van Rooi Meat, indicated that he does not rule out that the pig quotations will continue to lose ground. He pointed to a supply 'that keeps coming', the weak domestic meat demand (due to corona) and the current limited export options. He mentions less production as a route to better market conditions.

Waiting time for sows
German slaughterers announced at the beginning of this week that the purchasing price for slaughter sows would have to be significantly reduced. Breeders are quick to offer sows because of the extremely low piglet prices. Not all animals can be processed and there are now waiting lists in Germany, reports the German ISN. The quotation for sows will decrease to €0,07 per kilo to a level of €0,70 per kilo of slaughtered weight.

The German VEZG quotation for fattening pigs is also this week at €1,25 per kilo of slaughtered weight.