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Disappointment at Slow EU Pig Price Increase

22 May 2015
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EU - At last, the atmosphere appears to be optimistic again on the European pig slaughter market.

Market participants have long been waiting for the barbecue season to begin. The quantities on offer are falling below average, and demand on the part of the slaughter companies is brisk.

This current week of slaughter is characterised by a positive trend reversal, showing slight price increases in Germany, the Netherlands and Belgium. However, the German price increase clearly falls short of expectations and possibilities.

Unchanged quotations are noted by Spain, Denmark, France and Austria.

Existing backlog supply could not be sold completely in Austria so far. But the positive spirit prevails in Austria as well. People are pinning their hopes on nice barbecue weather and market clearing resulting from that.

In the South (that is: Spain and France) the markets seem to be balanced altogether. Currently, the export situation does not seem to offer sufficient leeway for price increases in Spain.

Trend for the German market:

At the time being, no end is in sight as to the scarce quantities on offer. The slaughter companies’ demand is extraordinarily comprehensive, in view of the major demand from food retailing.

Despite their intense efforts, the marketers do not succeed in meeting all enquiries completely.

The situation is not expected to come to a dead stop for the present. So, the prices are anticipated to go on increasing up to an appropriate level.

TheMeatSite News Desk

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