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Comment

Pigs on the Wing

Peter CrichtonBy Peter CrichtonMarch 17, 20233 Mins Read
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Pigs remain a flying trade and the SPP continues to rise and went up by another 1.66p to stand at 211.41p.

EU pig meat prices are also reflecting sharp falls in pig availability, which seems to be getting worse rather than better with the German producer price quoted at €2.28 and the gap between EU and UK pig meat prices continues to narrow.

UK weekly contribution prices are also reflecting bullish trends with some but not all of the contributors putting in another copper or two with most around 212p/kg.

Spot bacon pigs remain very short, like Cheltenham jockeys, with reports indicating that light bacon weights have been sold on the spot market in the 220p – 230p/kg range and heavy baconers remain in short supply and are also well ahead of the SPP.

Cull sow prices have always been a useful barometer of the fortunes or otherwise of the EU pig industry and with numbers on the tight side cull sow quotes remain firm with most culls between 118p and 122p/kg, but more available for larger loads.

This is despite the value of the Euro falling, which traded today at 87.7p compared with 88.7p a week ago due to a firmer GBP.

Weaners

The cupboard is bare as far as weaner availability is concerned with virtually everything sold or spoken for or and contract. RSPCA Assured 7kg piglets are worth between £54-£57.50/head for quality lots and 30kg spot weaners are also extremely scarce and very much a sellers’ market in every sense of the word.

Feed Market Trends

Reports are circulating that the vital Black Sea corridor may be extended for 60 – 120 days, and hopefully this valuable corridor will remain open.

Cereal and protein costs continue to fall much to the delight of pig producers after many months of negative returns and red ink on their overdrafts.

The UK spot feed wheat weekly average has fallen to £209/t ex farm and this trend is reflected in futures prices with feed wheat for April delivery at £216.50/t and £222/t for September. Feed barley prices are also continuing to ease quoted at £199.50/t for April and £205/t for September.

Protein prices are also following this downward trend with Hipro soya traded at £533/t for April and £503/t for June – October. Rapemeal prices have eased back dropping by £13/t over the past seven days and now stand at £331/t for April.

And finally…

Another factor which could help to boost global pig meat values are press reports indicating that African Swine Fever is continuing to rear its ugly head again in China, with reports suggesting that this could hit production levels extremely hard.

Outbreaks of ASF in China during 2018 – 2019 killed millions of pigs and there are suggestions that a rash of Swine Fever infections in the northern production area of China could reach 50%, unless effective controls are put into effect without delay.

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Previous ArticleUK pigmeat imports and exports record significant drop in January
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Peter Crichton

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