Unrest in pig market affects piglet price

Rarely has the piglet price risen as fast as in recent weeks. The high pig prices and the excellent prospects for 2020 have caused fattening pig farmers to impose heavy prices. The prospects for the pig market are still good, but the traditionally difficult broken weeks around Christmas and New Year are now approaching.

Vion's pork price has dropped from €0,08 to €2,04 per kilo this week. This price is valid until week 2 next year. The slaughterhouse speaks of increasing pressure on the European meat market. Due to the cancellation of slaughter and processing days, the supply is increasing. Demand from China has also dropped somewhat now that deliveries have been sent for the Chinese New Year. 

Piglets overrated?
The loss of slaughter days means that less placement space becomes available for piglets. However, this was calculated in advance. More surprising is the unexpectedly great pressure that has arisen on the pig price. This reinforces the rumors that the piglets are overrated. At the same time, the piglets that are now being imposed will come onto the market as fattening pigs last spring, and by then the pig price may have long since recovered from the winter dip.

The German piglet price (VEZG) leveled off this week at a record level of €71. The Nordwest listing will most likely follow this trend. The input from traders for the change in the DCA BestPigletPrice varies. However, a reduction is unavoidable and, given the unrest on the pig market, not illogical. The quotation therefore drops by €2,50 to €64 per piglet. 

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