Inside Pigs
Price demand from German slaughterers granted
Although the Vereinigung der Erzeugergemeinschaften für Vieh und Fleisch (VEZG) tried last week to limit the damage to the pig price by lowering the quotation by only €0,01, this was not accepted by the slaughterhouses. This week, the VEZG must therefore follow the will of the slaughterhouses.
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Broadly speaking, little has changed in the market. The supply is too large for the demand. Asian exporters are still not on the market and are not expected to return anytime soon. Corona continues to leave its mark on both export markets and the domestic market. Combined with a traditionally increasing autumn supply (in Europe), the market is experiencing difficult waters.
Exporters look further afield
Now that huge quantities of pork are available, exporters tried to tap into new markets. Meat traders report that European exporters have recently entered the South American market more often. At the moment, despite significantly higher shipping costs, they can sometimes deliver consignments more competitively than their competitors from North America. The Asian market only seems interesting for by-products. However, the competition here is also fierce and therefore the pricing is weak.
The number of pigs slaughtered in Germany was slightly lower last week at more than 836.900 pigs. The slaughtered weights increased slightly, from 97,1 kilos to 97,2 kilos.
The VEZG quotation for the coming week (7-10 to 13-10) has been set at €1,20 per kilo of slaughtered weight, which is €0,04 less than last week. The large slaughterhouses also quote €1,20 per kilo.