EU pig price continuing its upwards trend
The EU average pig reference price continued its upward trend of the year, following a slight plateau in August.
As at week ended 18 September, it had risen by almost €2 in the latest four-week period, to €165.46/100kg. This is the highest price since July 2014 and 12%, or €18, up on the same week last year. The price was also slightly above the two-year earlier level, albeit by a much smaller margin; up just 2%, or €3.
The strong Chinese demand has continued to boost the EU price, coupled with the latest census figures showing a tightening of supplies across all major producing Member States. This has helped to support a drop in domestic demand across many EU states, with reports of a slightly disappointing barbeque season not livening the domestic market as hoped.
In recent weeks, the prices in northern Europe have been performing well. Over the last four weeks, the Danish and German prices both rose, by €3 and €4, respectively. The Dutch price increased by just over €2, while the Belgian price remained largely stable (up by less than €1). In southern Europe, the Spanish pig price fell by just over €1 in the same period.
The UK reference price remains behind that of the EU, and while the gap was narrowing over recent weeks, for week ended 18 September this increased again, back to 3p/kg. However, this remains far below the price gap that was observed following the Brexit vote, of over 12p/kg.
Dorian Harris, Analyst
Dorian.Harris@ahdb.org.uk, 024 7647 8850