Piglet price looking for a bottom?

In Germany, the North/West piglet price has fallen by €3 to €45 per piglet over the past week. From this price level onwards, German fattening pig farmers start to show demand for new stock again. The correction was necessary because the relationship with the pig price had gotten out of line. Given that the trend report predicts a sideways movement for this week, it is expected that the German piglet price will not make another correction.

Differences per state
A factor in this is that the beets and potatoes are now in the ground on the mixed farms in Germany. In recent weeks it has not been desirable to unload piglets at some of these farms. Piglet prices in Schleswig-Holstein are making a second correction in a row. Just like last week, the listing yields €2. This means that the basic price now stands at €53 per piglet (of 28 kilos). The laundry was necessary because supply and demand are still out of sync in that state. In the states bordering the Netherlands, traders are noticing a renewed interest in new sales.

In the Netherlands, fattening pig farmers are more vocal than in Germany. Piglet prices will have to come down further to turn the tide. However, the stabilization of pig prices does provide starting points for this turnaround. Although pig prices are well below the 5-year average, worse was feared.

Fourth correction for BPP
The DCA BPP falls this week for the fourth week in a row; this time with €2 to €41 per piglet. It is expected that stabilization from this point may be feasible. In other words: corrections in a few euros will probably no longer be an issue in the coming weeks. The condition in this scenario is that the pig price does not fall after all. According to slaughterhouses, this chance cannot be ruled out, as the margins in meat are wafer-thin or even negative. Last week's Internet fair would have been flattering. 

It is true that after Pentecost there will probably be more pulling on the pigs. From then on, there will be plenty of slaughter again in Northwestern Europe; Logically, this creates more room for new additions. In short: a bottom is starting to form, but the uncertainty factor is still quite high.

Vion pig price equal
Vion's pig price is not yet showing any signs of further reductions and remains stable at €1,39 per kilo. The slaughterhouse says that there is a balance between supply and demand, while the situation on the meat market has not changed. This means that the prices of attorneys are increasing and that the hams and shoulders are under slight price pressure.