UK pig prices - week ended 17 December 2016
The EU-spec SPP has seen a further rise in the week ended 17 December. However, the rise has been more modest than seen in previous weeks, increasing by just 0.16p/kg on the week to 151.82p/kg.
Prices are now nearly 28p higher than the same week in 2015, following declines seen last year. Price increases have continued as procurement for the Christmas period draws to a close but more supplies have been available, as some producers pulled pigs forward ahead of the holidays, limiting increases.
Estimated slaughterings rose by 3% on the previous week to 197 thousand head with Christmas fast approaching. However, this remained 2% lower than the same week last year as supplies this year remain tight. Carcase weights continued their decline, which began in December, with a sharper fall of over half a kilo seen this week, falling to 82.22kg. This is still 1.3kg higher than the same week in 2015.
Further increases to the EU-spec APP were seen in the week ended 10 December, with the measure rising by 0.42p compared to the previous week at 154.46p/kg. This led to prices remaining 25p higher than same week in 2015. This meant that the premium for the APP over the SPP grew by a further 0.15p to 2.8p/kg.
There were opposing trends seen for different weights of weaners in the week ended 17 December, with 30kg weaner prices falling by £1.20 on the previous week to £55.34/head, following last week’s sharp rise. Meanwhile, 7kg weaners saw an increase of £0.67 to reach £39.13/head. This means that 7kg weaners are now over £8 higher than the same week last year, while 30kg weaners had a premium of over £15.
Please note that pig prices for week ended 24 December will not be published until the week commencing 3 January 2017, when prices for week ended 31 December will also be released.
Mark Kozlowski - Senior analyst