The recent positive momentum in the market must be sustained to get pig producers out of their long-running loss-making rut, according to Thames Valley Cambac.
In its latest weekly market update, TVC said it was pleasing to note all the majors killing on the Bank Holiday. “Demand continues to grow, and supplies are just about meeting it with the nearby looking like pigs will get shorter,” TVC said.
All weekly input prices increased between 3p & 5p. The SPP increased by 1.24p bringing it to 145.10p, continuing the recent forward momentum.
“This momentum must be maintained to get producers out of this loss-making rut that has plagued our industry for months now,” TVC said. “Processors need to step up and recover these increasing costs from the end user – not easy but it’s imperative, so the processor does not just swap places with the producer with regards to returns!”
The sow price had a lift with prices increasing around 3p off the back of two weeks of decreases as a consequence of reduced capacity to process these on the continent – this was Covid-related as previously reported.
The Euro finished the week virtually where it started at 86.8p v 86.9p as at last Friday.
Weaner demand was reasonable for both 30kg stores & 7kg weaners, although bids are moderate at best because of the significant cost of finishing and RM markets not offering much by way of relief in the short medium term in this area.