The upward trend in the pig market is now interrupted by the long Easter weekend. This does not alter the fact that the undertone in the pig market is good.
With Easter ahead of us, it is a good time to take stock. In the first months of this year, the DCA Exchange Price 2.0 increased by €0,37 to €1,68 per kilo. This puts the quotation well above the level of 1 year ago, but still €0,03 below the level of the same week in 2017. The DCA Stock Price 2.0 then continued to rise to €1,76 in July, although expectations were even more tense in advance that year.
Loss of slaughter days
Due to the cancellation of several slaughter days, the pig supply is currently reasonably in line with the demand from slaughterhouses. The big question is what that will be like when the broken weeks are over. Shortly after Easter, another public holiday (May 1, Labor Day) is celebrated in many European countries, which means that another day of slaughter is lost. This will probably allow prices to fluctuate for a while in the coming weeks and give meat processors time to recover.
The undertone on the pig market is still good. The expectation is that the upward trend may resume when supply tightens. The demand for meat is still in force. Due to the cancellation of the slaughter days, less meat is available, and supplies were already tight. In addition, in Europe, due to the nice weather, the demand for meat is increasing again. In addition to Chinese demand, domestic consumption is now also starting to stimulate pork prices.
Stock market price levels off
All in all, there is nothing wrong with the market. The interruption of the upward trend will probably be a breather, according to the market's expectations. For next week, the DCA Exchange Price 2.0 will level off at €1,65 per kilo for slaughtered pigs. The price of live pigs is stable at €1,34 per kilo.