Pig indices are stable

The Countus Fattening Pigs Index and Countus Piglets Index have maintained the set course in recent weeks. This means that the Fattening Pig Index has continued to fall and the Piglet Index continues to rise. What is the expectation for the coming weeks?

The Countus Fattening Pigs Index fell by 10,6 points to 183,5 points in the past month, with 100 points being the long-term average. Incidentally, this level is still at least 20 points above the level of previous years† The fact that the Fattening Pig Index continues to fall is mainly due to the fact that the situation on the market equal stays. Demand for China is still booming, but the supply of pigs ready for slaughter remains more than sufficient. Higher pig prices were therefore not an obvious choice in October.

Stabilization expected
More stabilization is expected in the coming period. The prognosis of the Fattening Pigs Index shows that a (short-term) increase is in the offing. This is supported by the fact that Van Rooi last week made an increase and Vion did so this week. This can be seen as confirmation that the pig price has still not reached the top. While the price increase was not expected, it is not out of the blue either. After all, meat prices have been showing significant pluses for a number of weeks.

In the background, there is also an increasing demand within the European Union, in connection with Christmas. As a result, the continuing ample supply of pigs is starting to shrink somewhat, which may cause the price to rise. In addition, let the feed prices still show a downward trend, making costs relatively low for fattening pig farmers. All in all, this ensures a positive return on the fattening pig farms.

Piglet index continues to rise
While the Fattening Pigs Index has continued to fall in recent weeks, the Countus Piglets Index is also holding its course. Last month, the Index rose by no less than 19,6 points to 140,6 points. The fact that the Index was able to rise so sharply is partly due to the fact that demand is good and sales are smooth. This means that the price development of the piglets this autumn is clearly different than expected. In addition, the feed costs for sow farmers are also falling. For example, baby piglet pellet lower again this month.

The increase is expected to continue in the coming period. The fact that Dutch pig prices (after a stable period) are increasing again will probably only benefit price formation. This sentiment is also supported by the DCA BestPigletPrice from Monday, November 4. The quote went up by €2 on that date.

Kimberly Baker

Kimberly Bakker is an all-round editor at Boerenbusiness. She also has an eye for the social media channels of Boerenbusiness.

k.baker @boerenbusiness. Nl

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