Analysis piglets
Doubt creeps into piglet market after price rally
Now that the extremes on the pig market have passed, the piglet price is also slowing down a bit. The undertone in the market is still positive, although there are doubts in some places.
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The dust has settled after the extreme price rally of recent weeks, and pig farmers are doing their math. With the current piglet and feed costs, the return in fattening pig farming is no guarantee. This inhibits the incentive to impose piglets, or at least provokes resistance.
Sounds can be heard that closed farms are selling the piglets as this would count better. The export demand in Germany and Spain is also lukewarm, according to traders. Overall, the piglet market is losing upward momentum, but it's going too far to label the market as weak.
Will the market level off?
The German VEZG quotation has risen this week by €3 to €58 per piglet, which is the highest level since 2020. The DCA BestPigletPrice – the basis of the statements – is slowing down slightly and rises by €2 to €56 per piglet. If pig prices actually level off, the rate of increase for piglet prices in the coming weeks seems rather limited. Over the past two years, the BPP has hit its peak this week of the year. This can be seen as a historical clue. For what it's worth.
Click here for an explanation of the DCA BestPigletPrice.