UK pig prices - week ended 19 March 2016
The previous week’s small rise was reversed, as the EU-spec SPP fell 0.30p in week ended 19 March, to stand at 112.07p/kg.
The small movements recorded over recent weeks suggest that the market remains largely in balance in the run up to Easter. With two short weeks ahead, there may be some short-term pressure on prices, although strengthening EU prices and a weaker pound may provide some support. There was little sign of pigs being pulled forward ahead of the Easter holidays, with estimated slaughterings only fractionally up on the week and similar to a year before, at 173,600 head. Carcase weights remained at a high 83.7kg too, well over a kilo heavier than the equivalent week last year, giving no indication of pigs being marketed early.
Last week’s reported rise in the SPP was replicated in the APP for week ended 12 March. The EU-spec APP was up 0.25p at 115.94p/kg, the first time it has increased since December and the biggest weekly rise since last June. With both price series moving by the same amount, the gap between SPP and APP remained below 4p, as has been the case for most of this year.
Although fluctuating somewhat from week to week, the 7kg weaner market remains under pressure. In the week ended 19 March, the average price fell over £1.50 to £27.79 per head. This is the lowest price recorded since the series began in mid-2013 and is over £5 lower than a year before. Given that feed prices remain low, this indicates there is little confidence about any recovery in the finished pig market. The price for 30kg weaners has been more stable of late and was up 28p at £36.82 per head during the latest week.
Stephen Howarth, Market Specialist Manager
Stephen.email@example.com, 024 7647 8856