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Bethan Wilkins

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AHDB Pork Market Intelligence

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Falling prices in the EU

Home \ Prices & Stats \ News \ 2014 \ July \ Falling prices in the EU

The recent upturn in EU finished pig prices, which started in early May, has reversed in the last couple of weeks. EU pig prices fell from €175.36 per 100kg in week ended 6 July, the highest point of the year so far, to €168.43 per 100 kg in the latest week. The swift backward step resulted from the start of summer holidays hitting demand in Northern Europe.

The recent upturn in EU finished pig prices, which started in early May, has reversed in the last couple of weeks. EU pig prices fell from €175.36 per 100kg in week ended 6 July, the highest point of the year so far, to €168.43 per 100 kg in the latest week, ending 20 July. This meant pig prices came down by €7 in two weeks. The swift backward step resulted from the start of summer holidays hitting demand in Northern Europe, while the Russian ban on EU pork imports continued to weigh on the market, despite robust demand from other export markets. The falling finished pig quotations widened the annual price difference to nearly €14 per 100kg and took prices close to their level in July 2012. The latest weekly average showed UK pig prices around €30 above the EU prices, with the stronger pound contributing to this.

Falling prices in the EU

During the four week period ended 20 July, finished pig prices fell across the major northern EU producers. Having risen in June, German pig prices declined in the latest four weeks by around €8. The Netherlands followed a similar trend, with a €7 fall, while prices in Belgium and Denmark fell at a slower rate, by €5 and €2 respectively. In contrast, producers in Spain, Ireland and France received a higher price for their finished pigs compared with four weeks earlier. In particular, quotations in Spain rose by €4 during the four week period, widening the gap between the German and Spanish pig prices. However, it is worth noting that prices began to decline in France and Spain in the latest week.