News Pig market
Shortage continues, pig price remains standing
Now that the German pig price (VEZG) has remained the same at € 2,10 per kilo for the second week in a row, the conclusion is that the market has definitely returned to calm. As expected, Dutch slaughterhouses also record unchanged.
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After turbulent weeks with large price fluctuations, it takes some getting used to that the pig market is in a lower gear. This situation could easily continue for a while. The tight pig supply is supporting the market at the bottom and the path to the top is also closed. DCA's meat quotations showed a slight decline this week for the first time in a long time, a signal that the cake is finished.
Continued tight supply
The German supply showed a slight increase with 746.000 slaughters in the past week, as is usual seasonally. For slaughterhouses, however, the increase is a drop in the ocean. Reportedly, the overcapacity in the pork chain is hurting and it is a matter of waiting for companies to collapse. Especially now that the German pig price has risen so high and the other costs are not cheap either.
The low slaughter figures are also reflected in German meat stocks, according to figures from market agency Ami. In July, 189.000 tons were in stock, compared to 199.000 tons in June. When we compare this with previous years, there is a decrease of 27% compared to 2021 and an increase of 40% compared to 2020. In other words: meat supplies were neither tight nor ample in July.