The market was jolted by continued price pressure at a time of year when demand should be buoyant in advance of Christmas, according to Thames Valley Cambac.
Friday saw three processors drop their contribution prices. One major processor with direct retail links reduced their contribution price another 3p, making it 8p in two weeks, and further falls were seen with two others.
“There is a growing feeling that the processing sector are determined to squeeze the pips out of the industry, regardless of the damage they inflict to further supplies,” TVC said in its latest weekly market update.
“Producer resilience is weakening, as high production costs continue to batter confidence. Some fresh meat sales were a touch better resulting in improved demand, but the market was still rocky.”
Cull sows were 3p stronger on the back of improved continental trade. European markets were encouraged by a 5 eurocent rise in Germany, but prices in sterling were tempered by the continued weak Euro that ended the week down 1.18p at 85.88p.
While contracted weaner supplies moved as normal, there was minimal spot market trade. Fatteners are reticent to partake when the market is so far below cost of production. There was insufficient data for AHDB to formulate any quotes.
European Prices (p/kg.dwt) w/c 27/11/22 Â Movement on last week
Tribune Spot Bacon               203.48            – 0.80
SPPÂ Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 200.72Â Â Â Â Â Â Â Â Â Â Â Â + 0.35
European Av. Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 166.70 Â Â Â Â Â Â Â Â Â Â Â – 0.37
Belgium                                  151.67            + 2.44
Denmark                                145.49            + 0.36
France                                    186.11            – 2.82
Germany                                167.48            + 2.06
Ireland                                    180.36            – 2.47
Holland                                   152.62            + 0.17
Spain                                      182.94            – 2.50
(Ref Weekly Tribune)