Inside: Pig Market
DCA Stock price checkmate between supply and meat market
The pig market in Europe is in a sideways flow and it is difficult to escape from it. The meat market hardly stimulates, while the supply is influenced almost weekly by broken weeks.
Read this article?
Become a subscriber and get instant access
Choose the subscription that suits you
Pricing on the German pig market showed a somewhat subdued picture this week. The Internet Exchange recorded a minus of 6 euros on Tuesday, June 0,01, but this was canceled out on Friday. In the meantime, the German pork price remained stuck at 1,81 euros per kilo. Historically this is an excellent level. Nevertheless, fattening pig farmers express hope for further increases. It is the high piglet costs that keep this hope alive.
1,86
euro
Corpus Christi in Germany
Next Thursday, June 16, is Corpus Christi in Germany. This means that many slaughterhouses keep their doors closed. Dutch traders who supply pigs to Germany are noticing the consequences. For example, Tönnies is holding back a bit and there is also a shortage of space at other slaughterhouses. Despite the fact that Germany is heading for a broken week, this has no major consequences for the Netherlands. In general, traders find reasonable sales, although it varies per trader.
Meat market closed
Pig prices in Europe are based on a tight to normal supply. Since the quotations are at a high level, the market needs a strong boost to increase. The chance that that impetus will come from the meat industry is small. The sausage makers are squeezed on all sides and cannot afford higher purchasing prices. Outside Europe, the Chinese question has some resonance. According to slaughterhouses, the ''Chinese fireworks'' have disappeared. The good returns on by-products are dropping back to more moderate levels.
On the global market, competition from the US, Canada and Brazil is fierce. European slaughterhouses talk about slower sales opportunities. A stronger euro weakens Europe's competitive position. In addition, the British pound has weakened due to the political elections. This makes exports to the United Kingdom more difficult. The impetus must therefore come from our own soil. However, demand from retail has been very normal these weeks. For the second week in a row, the prices for hams, bellies, the middle and the forepart were set in stone.
Enter the new week unchanged
In view of the good weather forecasts, the demand for BBQ parts may become more lively. However, the effect of this on the market remains to be seen. For the time being, the meat market is under slight pressure and that is why the DCA Exchange Price 2.0 for slaughtered pigs remains at 1,74 euros. The price of live pigs is also unchanged at 1,37 euros.
Knowledge session pig market and politics
Leave on Monday June 12, 2017 in Arnhem free* catch up about the latest political and market developments in pig farming.
The evening features several speakers, including:
- Jaco Geurts (Member of Parliament CDA),
- Jan Schuttert (chairman advisory committee DCA BestPigletPrice and DCA Beursprijs 2.0)
- Pieter Post (DCA quotations coordinator).
This evening the leadership is in the hands of Henk Bleker.
Register for free here
* The event is free for Pigs & Feed Pro subscribers. Non-subscribers pay 10 euros entrance.