Inside Pigs
Soil remains below Dutch piglet price
The piglet market has been in heavy weather for weeks and there is still little prospect of a recovery in demand. How does the piglet price (DCA BestPigletPrice) react to this?
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The aftermath of the corona crisis and the associated shutdown of slaughterhouses is still making itself felt. The pig's plug has also created a piglet's plug, which dissolves poorly. A positive development is that Van Rooi Meat intends to increase the slaughter pace now that export recognition for China has been obtained again. This can promote the flow of fattening pigs and thus also provide a helping hand to piglet sales.
However, the demand for piglets will remain tame for the time being, according to market expectations. Today's piglets come onto the market as fattening pigs in January and then there is usually not a great demand. The export possibilities are limited. In Germany, mixed farms are busy with harvest. In addition, importers are offered individual flocks at dumping prices. This creates a clouded image.
Vion's performance remains unchanged
An increase in the price of pigs would be desirable to boost demand for piglets, traders say. However, that is not the case yet. Following the stable DCA Stock Exchange price, Vion is also leaving the quotation at €1,47 per kilo (including VAT). Unlike Van Rooi, the Chinese meat ban still applies to the Netherlands' largest slaughterhouse.
Although a number of traders have opted for a reduction, the DCA BestPigletPrice remains at €30 based on the statements. Many traders argue not to let the bottom fall below the price. The German VEZG quotation is €39 per piglet for the seventh week in a row.