'Easy way to compare pig price'

DCA-Markets, part of DCA Group, has launched a new tool: The DCA Pig Index NW Europe. The aim of the Index is to provide greater transparency in the market. "It is also a great way to easily compare prices," the company said in a press release on Friday, May 25.

The Index, which only covers Northwest Europe, has been compiled using various pig prices from the Netherlands, Germany, Denmark and Belgium. According to the company, the Index can be seen as an objective indicator for various parties in the market (such as pig farmers, traders and slaughterhouses).

The period 1 January 2013 to 1 January 2018 has been chosen as the 'base year'. This gives the Index a good indication of how pig prices currently relate. When the Index is above 100 points, the price is higher than the average price in the period from 2013 to 2018. The Index for week 21 stands at 91,4. That is 2,4 points higher than the week before.

Compare at a glance
The Index has been calculated separately for each country, so that the differences between the countries are also made clear and the price levels can be compared with each other (without having to take into account all kinds of differences such as VAT, quality or currency). “This ensures that the Index position reflects at a glance how pig prices are mutating in Northwest Europe,” the company said in the press release.

(Text continues below the chart)The chart above shows an example of the DCA Pig Index NW Europe.

Weighting of the countries
The weight of a country in the DCA Pig Index is determined by the slaughter numbers, as published annually by Eurostat. The most relevant call prices are taken for each country. For Germany these are the quotations of Tönnies (37%), VEZG (26%), Vion Germany (19%) and Westfleisch (18%). For Denmark, then Danish Crown (88%) and Tican (12%).

The Netherlands is made up of the quotations of Vion (38%), DCA Beursprijs 2.0 (25%), Van Rooi (21%) and Compaxo (16%). For Belgium these are Danis (50%) and Belgium Porc Groep (50%).

DCA Markets
For the development of the DCA Pig Index, DCA-Markets collaborated with Robert Hoste, pig production economist at Wageningen Economic Research. DCA-Markets is the part within DCA Group which was established in 2018 for various market quotations (including the DCA Stock Price 2.0) and operates according to strict and transparent procedures.

View the Index.

Wouter Job

Wouter Baan is editor-in-chief of Boerenbusiness. He also focuses on dairy, pig and meat markets. He also follows (business) developments within agribusiness and interviews CEOs and policymakers.

w.baan@boerenbusiness. Nl

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