Analysis piglets
Unchanged is the maximum achievable for piglet price
Although the piglet prices have not even surpassed the price trough, the maximum achievable is unchanged at the moment. The resistance from the fattening pig farming sector is too great to bring about a price increase.
Read this article?
Become a subscriber and get instant access
Choose the subscription that suits you
The piglet market is now in a phase where it 'has to' happen seasonally. The market usually shows the largest increase in the first quarter in the run-up to spring. And although that increase started at the end of 2021, the recovery is not continuing. The recent unrest in the pig market has disrupted sentiment and the momentum has evaporated.
Lack of purchasing interest
The range of piglets in itself is not extremely wide. What is most lacking is purchasing interest. Both in the Netherlands and in the export markets. The fact that there is little slaughter in Germany does not benefit piglet sales. There are also rumors that there is a drop in demand in Germany, for example because arable farmers (with a fattening pig branch) are skipping a round. They focus on their arable farming branch, which is more profitable with the high wheat prices.
After a decline last week, the German VEZG quotation can hold this week at €23 per piglet. At DCA Markets, traders are also somewhat conservative in their statements. It has been decided to restart the market with a small increase, but the majority argue for unchanged. The quotation therefore remains at €28 per piglet.
Click here for an explanation to the DCA BestPigletPrice.