Inside Pigs
Piglet price easily maintains rising price
The DCA BestPigletPrice continues to move undisturbed, partly in response to the increasing surcharges.
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Rarely did the oversupply on the Dutch piglet market turn into a shortage so quickly. The shortages are partly due to the stopping sow farmers who have used the last months of this year to run empty and are now 'off the market'.
The rapidly rising piglet prices of recent weeks mean that fattening pig farmers no longer wait, but soon impose piglets. Many pigs have been slaughtered in the Netherlands for a long time, which means that the placement space for piglets is also large. Since week 45, the slaughter figure has moved above the 330.000 mark.
Spain on the market
The Spaniards are also on the market for Dutch piglets. German demand is calmer, but is expected to pick up in the new year when the oversupply of finishing pigs dries up there. This will probably take quite some time.
In the meantime, there are sounds, especially from fattening pig farmers, that the rate of increase in the piglet price would be too fast. This is because the pig price is stable and there is little prospect of price increases, partly due to corona.
From trading, however, DCA Markets opts to quote tightly, in view of the surcharges that will be discussed again in many fixed links in early 2021. The DCA BestPigletPrice thus increases by €1,50 to €26,50 per piglet. Historically, such increases in these broken weeks are quite unique. The German quotations are stable at the end of 2020 at €23 per piglet.