UK pig prices - week ended 2 April 2016
The EU-spec SPP fell modestly in the week ending 2 April 2016 by 0.26p to 112.55p/kg.
This movement wasn’t entirely unexpected, with both the short working week due to the Easter holidays and the significant price increase the previous week probably contributing to this downwards movement. Going forwards, there are now a few consecutive weeks with no holidays, so one would hope to see any effect from this on pig prices mitigated in the short term.
The average carcase weight increased slightly to 83.74kg in the week ending 2 April. This was up 0.4kg on the previous week, maintaining the plus 83kg threshold that has been recorded throughout 2016 to date. Estimated slaughterings were up 5%, to 167,000 head, and 6% on the same week of last year which was also a shorter working week. However, the volumes in the last two weeks have been lower than those recorded earlier in the year due to them being shorter working weeks.
The EU-spec APP also fell back in the week ending 26 March 2016, by 0.20p to 116.04p/kg, reducing the gap between the APP and SPP to 3.23p, the lowest since January 2015. This infers that either fewer premium pigs came forwards that week, or the premiums being paid for these pigs have reduced.
Both 30kg and 7kg weaners recorded price decreases in the week ending 2 April. 30kg weaners fell by £1.10 to £35.86 a head and 7kg weaners fell by a more modest £0.18 to £28.64 a head. The 30kg price fall was largely influenced by very low volumes being recorded and the mix of companies reporting, rather than actual price changes. The 7kg weaner price was influenced by one supplier buying a lot of spot pigs at a low price, rather than on contract.
Vikki Campbell, Senior Analyst
vikki.Campbell@ahdb.org.uk, 024 7647 8741