Factory inefficiency hampering efforts to reduce backlog – TVC

There has been little change in the situation in the pork supply chain as efforts to reduce the backlog remain hamstrung by factory inefficiency, according to Thames Valley Cambac (TVC).

“Slaughter weights continue to run at historically high levels, and producers are having to be extremely inventive to cope with increased stocking rates,” TVC said in its latest market update. “Slaughter number allocations remain shy of what’s required, so pigs continue to be backed up.”

Prices eased back again with the latest SPP down a penny and the SPP sample weight another record at 95.80 kgs. The fresh meat market showed little improvement with trade being described by one outlet as ‘dire’.

The cull sow market remained hampered by processor issues in Germany, and numbers required were curtailed as a result.

European markets saw Spain improve (+3.9c) but the Netherlands fell back again (-5.5c). Price quotes in sterling were enhanced as the Euro increased sharply, ending the week up 1.41p at 84.59p.

Weaner movements remained limited, with many arrangements having to flex to cope with the logjam in the slaughter market.

AHDB’s 7kg weighted average weaner price fell by £1.06 to £32.72, but there was insufficient data to calculate a 30kg store price.

European Prices (p/kg.dwt) w/c 06/02/22   Movement on last week

GB SPP                                     137.87             – 0.98

Tribune Spot Bacon                138.10             – 0.38

European Av.                          104.49             + 2.01

Belgium                                   82.39               + 1.37

Denmark                                 89.75               + 1.50

France                                     126.80             + 2.12

Germany                                 101.51             + 1.70

Ireland                                     120.12             + 2.01

Holland                                    91.28               – 3.04

Spain                                       116.48             + 5.19

(Ref Weekly Tribune)