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EU Pig Market Balanced

29 January 2015
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EU - The European pig slaughter market is becoming ever steadier.

The market balance is restored. Unchanged quotations were noted in Germany, Austria and Ireland.

Spain and France reported a steady price level. Pricing pressure that built up around the turn of the year is off the table. The situation is back to normal.

Only the Netherlands stands out it this week. There, the market situation was regarded so positively on Friday that the corrected Dutch quotation exceeded last week’s level by a corrected 1.9 cents, even without any target being set from Germany.

The market assessment was more negative in Denmark, Belgium and Great Britain. Yet, the corrected British price level remains unchanged as a result of the weakening euro.

The individual EU member countries’ negotiations with Russia about the resumption of pork exports were a much discussed issue last week. The market participants feel optimistic about the Russians’ willingness to communicate, even without being given an official confirmation from the Russian side.

France in particular hopes for the Russian embargo imposed on imports to be lifted for French pork products.

Trend for the German market:

At the time being, the perspective is better than it has been for a long time. According to the marketers, the demand is exceptionally brisk on the part of the slaughter companies. This was also reflected in the brisk internet pig auction progressing on Friday.

Together with good export perspectives resulting from the weakening euro and the prospect of the Russian borders’ reopening for selected products, nothing is left to bar the way to price increases.

TheMeatSite News Desk

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