Pig price plus for the time being

Resistance to rapidly rising pig prices is growing. The fact that Van Rooi Meat recorded unchanged this week is a telling signal. High pig prices are pinching. The Brabant meat group has the misfortune that the Asian sales markets are still closed to them. The fact that the German pig price (VEZG) still increased by €0,03 to €1,95 per kilo was an extra that was not expected by everyone. 

Higher slaughter figures in Germany
Although the supply in Germany is still tight, the slaughter figure surprisingly rose above the 800.000 level last week. The rising numbers suggest pigs have been held captive in recent weeks to take advantage of the price rally. The supply will increase further with the cancellation of a slaughter day in the long Easter weekend that lies ahead. At the same time, a German oversupply is far away. With the sharp decline in the pig population, the question is whether this will continue for the foreseeable future. About a quarter of the slaughter capacity has been unused for some time.

In the Netherlands, supply and demand are reasonably in balance, although the slaughter figure has fallen below the 300.000 mark in recent weeks. It is possible that a number of trucks with pigs have crossed the German border to take advantage of the higher quotations there. At the same time, traders indicate that they are reluctant to do so.

Expensive beef and scarce poultry meat
A new reality has dawned on the meat market in recent weeks. The realization that the supply of pigs is scarce has now sunk in. However, it takes a lot of effort for slaughterhouses to pass on the sharply increased pig prices, which is not surprising given the rapid rate of increase. The demand for meat is good at the same time as the Easter weekend ahead. This is especially true for ham sales. In addition, pork consumption benefits from the expensive beef and scarce poultry meat. This could give the pig price a further boost later this year. However, the current cold spring weather means that the demand for meat is considerably less wild than it was.

Opinions among traders differ widely regarding the movement of the DCA Stock Price 2.0. A number of traders argue for unchanged. Others hint at a downward correction, given that the quote would be too tight against slaughterhouse prices. The explanation of the published Stock Price shows that unchanged was not in it and a correction has been made to let the too tight Stock Market relax a bit. This correction corresponds to the averaging of the statements and results in a slaughtered pig price of €1,78, that is minus €0,03 and for the live pigs the minus was limited to €0,01 and therefore amounts to €1,39. ,XNUMX.

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