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Factory breakdown hampers production

PW ReportersBy PW ReportersJune 10, 20192 Mins Read
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This week’s Pig Marketing Summary, from Thames Valley Cambac, reported that a major factory breakdown caused quite a few issues, but it was a very good litmus test of the market dynamics.

TVC - 10.06.19

Pigs were quickly rescheduled and numbers were caught up by the end of the week. If this had happened three months ago, we would be dealing with a different picture of coping with rolled pigs. It indicates there is a good undercurrent of demand, but some of the majors are reluctant to reveal it.

Despite this apparent malaise in demand, factory contract contributions increased again, with a couple of weekly quotes up 3p and 2p respectively. There was also a touch more life in the fresh meat trade, and increases of 1p to 2p were generally achieved.

The cull sow market saw better trade with the standard price up 1p, but some deals for bigger batches achieving well in excess of this. European prices romped ahead with Germany leading the charge, up 5 eurocents, with France and Spain recording similar rises. The Euro exchange rate was little changed and it ended the week down 0.02p at 88.67p.

The Weaner Marketing Summary, for week commencing June 2 reported that supply continued to improve with 7kgs weaners generally more plentiful. Fatteners struggled, however, to accommodate any batches over and above contracted numbers. The prices announced by the AHDB saw the weighted average for a 30kg store pig quoted at £50.16 and the weighted average for a 7kg weaner fall by 40p to £36.25.

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