Inside: Pigs & Feed
Is German pig market ready for third increase?
The third attempt by the NordWest commission to raise the German pig price in 2017 is in the air. The first two attempts were completely unsuccessful, giving optimism to caution. The question that has been alive since Tuesday afternoon is; has the internet exchange given the final push, or is Germany standing firm again?
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The arguments for raising the pig price may not be strong enough per se, but all in all it may be just enough to raise the price. The pig supply has certainly not been too extensive for weeks, the meat market gives slaughterhouses the opportunity to operate profitably and March is usually an increase month, in contrast to January and February. Especially because the internet exchange has also registered an increase of 3 cents over the last three trading days.
The question is, however, whether these arguments are strong enough to definitively convince the NordWest commission to raise it, or are they waiting for a safer and later date in March? Opinions on this vary widely. In the dull market of the past few weeks, it at least gives some food for conversation and something to look forward to.
In France and Spain, the quotations do not care about radio silence in northwestern Europe and the market goes its own way. Where the French – albeit after the decimal point – write a marginal plus to 1,60 euros rounded, the Spaniards add 2 cents to 1,59 euros. In the other countries they are waiting for the green light from Germany and everything remains unchanged.