Pig feed prices rose again in December. It is the third month in a row that lump prices have risen. Will this trend continue?
The various chunk prices are increasing with prices between €0,10 and €0,20 per 100 kilos. The largest increase is visible in baby piglet pellets, which rises by €0,20 to €34,40 per 100 kilos. The quotation of starting/transition grain increases by €0,10 to €27,30. Sow pellet pregnancy and lakto also increase with this amount, to €23,10 and €27,75 per 100 kilos respectively.
The price of pork chunks also increases by €0,10 to €23,40. This is the highest level since August last year. The compound feed price indicator expects a leveling off of the price of pork chunks in the short term. After that, from February to June, a slight decline is expected.
Barley price up
The rising grain prices are a result of the barley price, which rose significantly in the last quarter of 2017. The price of EU feed barley (Rotterdam) has increased from €158 per tonne since the end of September to €166 per tonne in early January. This is the highest level in 2 years.
Barley is an important, or the most important, component in various different (meat) pig rations. On the barley market, €170 per ton is currently seen as top. A price level of €165 is likely to form the bottom.
Wheat price down
Wheat is also dominant in the various rations. However, the price is under considerable pressure. For example, the EU wheat price has fallen by €6 since November to €168 per tonne at the beginning of January. The temperature is also falling on the Matif in Paris wheat price. This is as a result of the recent forecasts from the USDA (US Department of Agriculture) which show higher yields and ending stocks worldwide.
The price of EU maize, another dominant feed component, has been fairly stable since July, with prices between €160 and €170 per tonne. This market is currently quite directionless, as the different production areas move between seasons.