Inside Pigs
DCA Fair price 2.0 pulls open throttle
Until recently, pig prices were locked up, but this week the silence has been broken. The increase at the Van Rooi slaughterhouse can be seen as confirmation that the pig price has not yet reached the top.
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Pig prices remained stable for no less than 10 weeks. Historically speaking, that is unique. Especially at this time of year. The upward trend is often taken in Germany and the Dutch (and other European) quotes follow automatically.
This time, Van Rooi Meat was the first to come up with an increase. The slaughterhouse's quotation increased by 3 cents to €1,74 per kilo. Although there has been rumblings in the background for some time, this increase was not necessarily expected.
Less wide range
However, the increase did not come out of the blue. Meat prices have been showing strong gains for a few weeks in a row. Meat sales to China are still booming. Slaughterhouses that are allowed to export to China are reportedly running at full capacity.
In the background, the European Christmas demand for pork is also starting to emerge. Traders also report that the continued ample pig supply is starting to shrink somewhat. Van Rooi may be pre-sorting for that.
Higher DCA Scholarship Price 2.0
All in all, current market sentiment is a breeding ground for higher pork prices. Many traders at DCA Markets therefore opt for hefty increases. Based on the statements, the DCA Exchange Price 2.0 increases by €0,05 to €1,81 per kilo for the slaughtered pigs. The price of live pigs increases by €0,04 to €1,46 per kilo. It will be interesting how Vion will respond on Monday.