Finished pig prices are continuing their recent rally and went up by a significant 2.34p this week and the SPP now stands at 147.44p, its highest level for five months.
Weekly contribution prices have also taken their cue from the SPP and have generally risen by a slightly cautious 1p and a more encouraging 3p to between 143p – 150p, but these price improvements are very much needed by producers to try and get back into the black with feed prices still hitting margins and pig prices well behind COP levels.
EU pig meat values have remained at similar levels in Germany with the producer price is holding at €1.42, although French and Spanish prices are ahead of this with Spain quoted at €1.47 and France at a ‘très bon’ €1.54.
UK Spot bacon prices have yet to catch up with the SPP but are in and around 145p/kg, although any abattoirs short of pigs might soon have to consider opening their wallets a bit wider and heading towards 150p/kg.
The cull sow market unfortunately remains under pressure, not helped by the upcoming Bank Holiday in Germany next week and UK sow exporters still have to face the challenge of all the associated paperwork to get sows over the water and prices have generally been in the 55p – 59p/kg range.
The Euro has remained at almost exactly the same level as a week ago worth 86.86p.
Weaner prices are to some extent improving influenced by the rising SPP with reports of 7kg RSPCA assured weaners trading in the £35 – £37.50/head bracket, but Red Tractor are £2 – £4/head behind this with buyers still keeping a wary eye on high feed costs.
Feed ingredients remain expensive with ex farm spot UK feed wheat averaging £197.80/t and UK futures prices for feed wheat are a shade dearer on the week trading at £212/t for June and £188/t for September.
Barley remains at a discount with deals agreed for June at £188/t and for September at £173/t.
Proteins continue to remain bullish with June – October Hipro soya quoted at £380/t and November – April 2022 at £382/t.
And finally, good news that over 100 ‘Put British Pork On Your Fork’ roadside banners have been handed out for NPA members to put on prominent sites near main roads and on the basis that every picture is worth a thousand words, these should deliver a powerful message to British consumers over the merits of high welfare British pig meat.
At the same time, hopefully Covid lockdown should soon be coming to an end which should see an improvement in catering demand, and even better if this coincides with a period a period of slightly warmer weather than the recent chilly conditions to encourage the nation to start firing up their BBQs and setting fire to their gardens with pig meat high on the menu (after beer of course!).