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Prices shoot up, despite number allocations remaining low

Alistair DriverBy Alistair DriverMarch 14, 20222 Mins Read
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The green shoots of recovery appeared on Friday, but in a ‘perverse scenario’ where prices appreciated strongly but number allocations remained well below what was required, according to Thames Valley Cambac (TVC).

One major started the ball rolling announcing a 16p increase in its weekly input, which was then closely followed by others with quotes up as much as 17p. These increases will now feed into the SPP and other market prices, meaning that the whole market will benefit, TVC said in its latest weekly update.

“Factory reliability remained shoddy at best, leading to the monotonous rolling of pigs into this trading week. The upward price movement was extremely welcome but what sparked the sudden generosity is a mystery,” it added.

However, TVC noted that feed costs shot up again with wheat now north of £300/t, and stressed that producers will struggle to survive unless the market changes dramatically.

European prices soared and this helped to add 20p to our cull sow price. Germany and Belgium lead the way adding 25 eurocents, with other quotes all up healthily. Prices in sterling were enhanced further by a stronger Euro that ended the week up 1.58p at 83.97p.

The weaner market remains stagnated with minimal demand outside contract arrangements. Fatteners are unwilling to purchase as feed costs rocket. There was insufficient data for AHDB to calculate any weaner or store pig prices.

European Prices (p/kg.dwt) w/c 13/03/22   Movement on last week

GB SPP                                     138.10           + 0.04

Tribune Spot Bacon                147.16             + 9.19

European Av.                          129.06             +12.73

Belgium                                   136.28             + 24.97

Denmark                                 98.16               + 6.21

France                                     141.57             + 8.60

Germany                                 146.95             + 23.37

Ireland                                     119.24             + 2.25

Holland                                    120.83             + 14.63

Spain                                       140.65             + 9.08

Ref: Weekly Tribune

 

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Alistair Driver

Editor Pig World, group editor Agronomist and Arable Farmer and Farm Contractor. National Pig Association webmaster. Former political editor at Farmers Guardian. Occasional media pundit. Brought up on a Leicestershire farm. Works from a shed in his Oxfordshire garden.

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