Analysis Pigs
Mood at pig market takes a big hit
A cocktail of factors has put pressure on piglet prices. The sharp drop in pig prices is one of the causes, as is the outbreak of FMD in Germany.
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After German pig prices plummeted last Wednesday, the VEZG piglet price also got a slap in the face two days later. The quotation dropped by as much as €5 to €55 per piglet. This is the lowest level since the end of 2022. Moreover, few market insiders had seen this drop coming, although the VEZG piglet price often takes an unexpected turn and sometimes makes giant steps.
Trust has been lost
The rapid price drop automatically provides a lot of discussion in the Netherlands, just like the outbreak of FMD in Germany. In addition to export restrictions for the German meat sector, this can also cause obstacles to animal transport. It certainly does not improve the already depressed sentiment in the piglet market. This can lead to the conclusion that the mood has suffered considerably in recent days, because last week the DCA BestPigletPrice showed a slight increase, which is also in line with the historical seasonal movement in the market.
Due to the lowered VEZG piglet price, pig farmers are holding off as much as possible, which is not entirely illogical. All in all, the piglets are difficult to place. This is causing price pressure for the DCA BestPigletPrice, which this week has dropped by €1,50 to €54 per piglet. This has reduced the difference with the VEZG listing to €1.
Click here for an explanation from DCA Market Intelligence on the listing.