Inside: Pigs & Feed
Internet exchange puts pig market on edge
The way for a higher pig price in Germany is open, because the Internet exchange closed higher again on Tuesday afternoon, May 16. Higher temperatures, coupled with a tight supply, mean that the slaughterhouses are queuing up for the available supply. Al is also threatened with a "hauspreis".
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The internet fair is finally choosing direction again. In recent weeks, minimal increases and minimal decreases have alternated. The penultimate quotation (from Friday, May 12) showed an increase of 1 cent to 1,84 euros. This plus doubled on Tuesday afternoon, May 16, to 1,86 euros.
1,86
euro
Due to the plus, the difference with the German pig price has increased to 10 cents. Normally the bandwidth between the two quotations is approximately 6 to 7 cents. An increase in the German pig price of between 2 and 4 cents is therefore a realistic scenario on paper.
Somewhat tense market
However, a doomsday scenario, through a "hauspreis", must also be taken into account. The meat market is not yielding and does not actually allow higher pork prices. The slaughterhouses are therefore in a field of tension. The shortage is likely to be short-lived. Due to Ascension Day, one slaughter day will be canceled next week. This may be an argument for ignoring a higher Vereinigungspreis.
On the eve of a new pork price in Germany, it can in any case be concluded that a higher internet exchange is increasing the tension.
