Inside: Pig Market
Will DCA Stock Price 2.0 increase again?
The situation on the pig market is quite stable, with positive undertones mixed with doubts. At the same time, there is resistance to upward prices. Nevertheless, the DCA Stock Price 2.0 takes another step up.
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On the pig market, supply and demand are fairly evenly matched. The supply is still somewhat heaped, as a result of the broken weeks in May. Despite this, the German pig price (the VEZG quotation) went up this week by €0,02 to €1,44 per kilo.
Hauspreise in Germany
Not every German slaughterhouse agreed with this increase. For example, the location of Vion Germany in Perleberg, which is in the state of Brandenburg, has ignored the increase. They use a 'Hausspreise' at €1,42 per kilo. It is unlikely that many Dutch pigs will be paid on this quotation, given that this slaughter location is located deep in Germany. The pig price of Tönnies, which is sometimes a bummer in the European price peloton, followed the increase.
The Internet exchange on Friday 25 May remained unchanged at €1,50 compared to Tuesday. Of the 11 lots offered, 9 were sold. The unchanged could be a harbinger of what can be expected in Germany in the coming week with regard to the pig price change.
Meat sales driven by European demand
In terms of meat sales, slaughterhouses have to rely mainly on Europe these days. Outside Europe, there is lackluster demand, where China mainly sets the negative tone. In order to maintain export volumes to China, the price often has to suffer. Within Europe, the demand for BBQ parts is continuing well. May broke all heat records, so the BBQ was probably on more often than in other years.
Stock price up
Since there are a few warm days ahead, the risk of growth slowdown increases. This can shrink the supply, there is no question of adjusting the slaughter plans downwards. The slaughterhouses indicate that the supply of pigs is ample and that some art and flying work is required to get all the supply placed.
The DCA Stock Price 2.0 is also rising this week; this time with €0,02 to €1,38 per kilo for the slaughtered pigs. The price of live pigs increases by €0,01 to €1,10 per kilo.
| DCA Scholarship 2.0 (week 22) | Price range | Number of problems | Average |
| Gender €1,38 (+€0,02) per kilo | € 1,36 - € 1,39 | 12 | €1,375 |
| Living €1,10 (+€0,01) per kilo | € 1,09 - € 1,12 | 9 | €1,106 |
| Explanation DCA Markets: Although the Netherlands has left the period of broken weeks behind, this is not the case in Germany, Hungary and Poland, where Thursday is a public holiday. It is therefore expected that Germany will take a step back in the coming week with regard to the pig price change. The Internet fair of Friday 25-5 is seen as a harbinger of this. The demand for pigs is generally described as positive by traders. The aftermath of the cancellation of a slaughter day is not that bad. Still, there will be enough pigs to meet the demand for the coming week. It is assumed that all pigs will eventually be placed. Meat sales continue to be a drag in order to give the market the necessary relaxation, especially outside the EU. In our own country, it is hoped for extra demand for meat in view of the expectation of good BBQ weather. | |||