News Good Farming Balance
Vion gives a bonus to loyal suppliers
The participants of Vion's price index guarantee system (PIG) will receive a supplementary payment for 2018 of €0,01 per kilo. The added bonus is that the supplementary payment is rounded up.
The PIG system, part of 'Good Farming Balance', is now running for the second year in a row. Pig farmers who participate in this are guaranteed to be paid a competitive pig price. This price is based on the VEZG quotation (40%), the pig price of the Danish Crown (20%), the Spanish Llerida (20%) and the Belgian West meat (20%).
Outbreak in Belgium does not count
The weekly quotation of Vion is placed next to the above quotation. Vion says it will pay a competitive pig price for 2018, because it hardly deviates from the reference. Due to the outbreak of African swine fever in Belgium the Westvlees quotation fell sharply at the end of September (week 39); in accordance with the rules of the game, this outlier is not included in the reference.
The supplementary payment is calculated at €0,0087 per kilo and has been rounded by Vion to €0,01 per kilo slaughtered weight. Last year the supplementary payment was higher; this amounted to €1,15 per pig at the time. For 2019, the PIG system will be maintained under the same conditions.
Wouter Job
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