The time is ripe for rising pig prices

Market participants are reporting that supply is shrinking week by week. The pig supply that caused pressure at the beginning of the year has now subsided. Slaughter figures have been stable at around 290.000 head in recent weeks, but a decline is expected. Last week, the average slaughter weight dropped by 2,4 kilos to 98,9 kilos. This makes February's pigs the lightest since 2018. This underscores that the market is clearing quickly, although traders don't always recognize the trend individually.

Piglet price pushes pig market
In Germany, the VEZG piglet price rose by €3 to €41,50 per piglet. Such a jump is unusual when pig prices are also rising. The rapid increase appears to be linked to expectations that German pig prices will also rise this week. The higher internet market is pointing in that direction. The market is anticipating an increase of up to 5 cents, despite resistance from slaughterhouses, including market leader Tönnies.

Dutch slaughterhouses are trading significantly below German levels and appear unwilling to move on their own. This means Germany remains key. In Belgium, Danis has already broken the spell with a gain of 3 cents. The DCA Exchange Mutation Price is rising by 5 cents this week, in anticipation that the trend will continue here as well. 

DCA BestPiglet Price increases by 4 euros
Meanwhile, pig farmers are eagerly awaiting higher pig prices, even though it's still early in the season. Rapidly rising piglet prices are adding to the pressure. Strong international demand, particularly from Spain and Germany, is driving piglet costs up rapidly. The DCA BestPigletPrice rose by €4 to €43 per piglet. Historically, the spring increase is expected to continue for about five weeks.

Click here for an explanation from DCA Market Intelligence on the BestPigletPrice.