Inside: Pig Market
Has the price of pig rights bounced back?
The prices of pig rights have fallen further in recent weeks, in the South, East and Other regions. It is expected that the market has reached a bottom.
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In the East and Other regions, prices fell below €60 per right in April. So far, prices are showing no signs of rising above this level. However, the market has probably found a bottom, with prices starting from €55 in the East. In Other the prices are a few euros lower.
Salespeople don't want less
The sounds differ per trader. While one person reports that the necessary allowances (5.000 to 7.000 LU) have been traded in recent weeks, the other speaks of sparse transactions. It is the attitude of the selling parties that creates a bottom in the market. They are not willing to sell the rights for lower prices. As long as the pig price is not making serious progress, there is no fiscal incentive to increase prices.
The situation in the South region is not much different than in the East and Other regions. Rights are offered here from €110 per right. Stable prices are also on the horizon here.
This article is part of the Pigs & Feed Pro Trend Report published this week, which also focuses on slaughter, the interest market and the manure market. Click here to read the Trend Report.