German pig price rises faster than expected

The German pork price increases by €0,05 to €2,38 per kilo. This marks the end of a stable period that lasted more than two months. This also stretches the existing record. It was not yet known on Wednesday afternoon whether the German slaughterhouses will comply with this increase.

A further increase in pig prices has been a topic of discussion in the market for some time. The primary sector and trade have been pushing for this for a few weeks now, without really increasing the pressure on slaughterhouses. Slaughterhouses are cautious and say that meat sales do not justify an increase. However, as the weather improves in Europe, barbecue demand is getting a boost. This is also evident from DCA's carcass parts prices, which increased this week. For the prices for luxury parts such as tenderloins and necks. This development appears to be enough to increase the VEZG rating.

Pentecost
The tight pig supply is not so much the driving factor. Although supply is persistently tight, this is currently camouflaged by the broken weeks. In Germany, more than 100.000 fewer pigs were slaughtered last week due to Ascension Day. There will also be a slaughter day next Monday, because of Pentecost. Insiders therefore only expected an increase in the pig price after next week. 

In the Netherlands, pig prices remain stable this week. There will probably be a response to the movement in Germany next week.