EU pig prices: markets strongly uncertain
This current week, the slaughter companies are in the position to have clear price reductions being enforced on almost all European markets. With 9 cents in Germany and 8 cents in the Netherlands these countries report the most important price reductions. Thursday last week already, even before the prices were announced by the producers’ association, VION had corrected their price by 10 cents downward, thus exerting massive pressure on the market. As a result, stronger pressure was exerted on other neighbouring countries of Germany, such as Austria and Belgium where a 6 cents’ minus was noted. A comparably small price reduction (minus 4 cents) was reported from Denmark. So, Denmark goes on benefitting from the stable meat business towards Great Britain and Asia, in particular towards Japan and China.
Trend for the German market: The prices above all for ham and rolled fillet of ham have come under severe pressure. The business is going very slowly, which is typical for this time of year. The prices for neck, shoulder and belly went down less, because those pieces on the one hand are either stored for the next barbecue season and, on the other hand, are supported by exports to Asia and South Korea in particular. From today’s point of view, an assessment can hardly be made on whether or not the demand for pork at strongly reduced costs will get brisker and the producer prices can be stabilised this way.