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Supply tightening, but processors continue doom mantra

Alistair DriverBy Alistair DriverDecember 5, 20222 Mins Read
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Supplies are noticeably tighter as we move into December and the market dynamics appear to be subtly shifting, according to Thames Valley Cambac.

However, processors ‘continued to profess the doom mantra of poor retail sales and import pressure, at a time when there should be some festive cheer’, TVC added in its latest market update.

Price erosion continued with Morrisons-Woodheads reducing its contribution price a further 2p, making it 10p in three weeks. Others stood on, with the exception of one processor putting 1p in. This could stem from the
fact that this processor does not own their own animals and subsequently will be competing even
more so in the coming weeks for supply, TVC added.

Other Q prices eased due to a lower SPP. The fresh meat market was a touch more buoyant helped by better high street sales. Cull sows continued to improve, up another 5p on the back of improved continental trade.

European markets were encouraged by another 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.

There was little interest in any weaner supplies outside contractual arrangements. Fatteners are noticeably absent due to the parlous state of the finished market. There was insufficient data for AHDB to formulate any quotes.

UK and European Prices (p/kg) w/c 04/12/22          Movement on last week

SPP                              200.36                                     -0.36

Tribune Spot Bacon    203.48                                     n/c

European Av.              168.62                                     +1.92

Belgium                       157.2                                       +5.53

Denmark                     145.44                                     -0.05

France                         186.13                                     +0.02

Germany                     171.71                                     +4.23

Ireland                         180.30                                     -0.06

Holland                        156.86                                     +4.24

Spain                           182.87                                     -0.07

(Ref Weekly Tribune)

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Alistair Driver

Group editor - Pig World and Agronomist and Arable Farmer. Also National Pig Association webmaster. Former political editor at Farmers Guardian. Enjoys a bit of media punditry. Brought up on a Leicestershire farm. Works from a shed in his Oxfordshire garden. Under-9 football coach and big fan of Leicester City and Leicester Tigers. Occasional cricketer.

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