UK pig prices - week ended 7 May 2016
The recent recovery in pig prices showed signs of accelerating in week ended 7 May, with the EU-spec SPP rising by nearly a penny to 114.70p/kg.
This is the biggest weekly rise since the SPP began two years ago and the last time the previous price series rose by as much was in September 2013. The SPP is now more than 2.5p higher than at its low point in mid-March, although still nearly 17p less than a year before. Reports of a more buoyant EU market, coupled with some weakening of the pound, will have helped support UK prices.
The rise is particular encouraging as it came in a Bank Holiday week, suggesting demand remains strong. This is confirmed by reports suggesting that most abattoirs were killing for five days as normal. Certainly, estimated slaughterings were very similar to the previous week, at around 169,000 head and were 6% higher than a year before. The average carcase weight fell marginally on the week but remained nearly a kilo heavier than in the equivalent week last year.
The upward movement was also apparent in the EU-spec GB APP, which was up by 0.29p to 117.26p/kg for week ended 30 April. This represented the fifth consecutive rise in the price and was almost identical to the increase in the SPP for the same week. The gap between the two was, therefore, largely unchanged at a fraction under 3½p.
Weaner markets have also shown some sign of improvement of late. The average price for 7kg piglets continued this trend in week ended 7 May, increasing by 49p to £29.01 per head. This was over £1 higher than in mid-March, although still over £4 lower than a year ago. Similarly, 30kg store pigs were worth over £2 more than in March, although the weekly average price did drop by 53p, to £38.66 per head.
Stephen Howarth, Market Specialist Manager
Stephen.firstname.lastname@example.org, 024 7647 8856