Analysis piglets
Price spurt in pigs spills over to piglet trade
The rapidly rising pig prices certainly do not leave the piglet market cold. Both the German piglet price and the DCA BestPigletPrice in the Netherlands are booming. Price increases are also on the horizon in the coming weeks.
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It is now being emphasized again that sentiment on the pig market can make or break the piglet trade. In terms of supply, not much has changed on the piglet market compared to recent weeks, and there are no shortages.
However, the will to impose new couples has increased considerably, both in the Netherlands and Germany. Considering rising pig prices, the chance of return increases again, although the market still has a long way to go. The price recovery on the pig market is surprisingly fast, Vion is increasing the pig price this week by 12 cents to €1,44 per kilo (including VAT).
Inflation
The demand for piglets is likely to improve further in the coming days. Doubting fattening pig farmers in Europe now have to choose whether or not to impose restrictions. After all, it is likely that the piglets will be (significantly) more expensive again next week. In other words: inflation. It is not self-evident that 'fleximasters' in Germany will decide to impose new piglets. After all, the feed is expensive and will probably become even more expensive due to the war between Russia and Ukraine.
Based on the improved demand, the German VEZG piglet price will increase this week by €4,50 to €29 per piglet. The DCA BestPigletPrice increases – based on statements from traders – by €4 to €33,50 per piglet.
Click here for an explanation of the DCA BestPigletPrice.