The piglet market is in difficult waters, with dark clouds filling the airspace. The supply of piglets is substantial and the market has its hands full to place the supply. A downward trend in price formation is obvious.
These are difficult times for piglet traders. For a number of traders, fulfilling the agreements made falls under the category of 'headache file', whereby all the tricks necessary to implement the commitments are used. The fact that many Dutch traders are faced with the struggle to get the piglets placed means that they cannot lend each other a helping hand. The battle for the free piglet in the spring has turned into: where should we go with the free piglet?
Pressure is further increased
The core of the current supply of piglets lies in the number of piglets that exceed the fixed couplings. In addition, not all piglets on offer are suitable for every fattener, which further increases pressure on the piglet market. Moreover, anyone who now puts piglets on piglets can only deliver them as pigs for slaughter around the holidays at the end of December, a period that is not the most popular among fatteners. This makes fatteners even more reluctant, which makes placing piglets even more difficult.
DCA BestPigletPrice notes?
Last week, the base price of the DCA BestPigletPrice (BPP) remained unchanged at €49. Vion reduced the piglet price by €34 in week 0,50, reaching €50. The Flemish piglet price also changed last week, but by €1.
Van Rooi's Piglet quotation remained unchanged at €50. It was announced on Monday that the Weser Ems piglet quotation also remained unchanged at €57, with a trend report of unchanged. For week 35, the BPP will be quoted at €1 with a reduction of €48, mainly due to more difficult trading.
Upward movement can be positive
An upward movement in pig prices could have a positive effect on keeping piglet prices in check. However, the pig market does not yet seem to be able to break free from holiday mode, which means that unchanged prices are the highest achievable for the time being.
The development of the DCA BestPigletPrice in the past period.