EU pig prices rise… again
The EU average pig reference price rose €4.52/100kg in the four weeks ended 28 May, taking the measure to its highest level since 2013, at €175.62/100kg.
The rate of increase has slowed, and was less than half the increase of the previous four week period, but still the price remains at a substantial €35 premium compared with the same time last year. Higher temperatures in Germany might be indicating the start of summer and some associated barbeque demand, although any increases could be postponed by widespread rain. Holidays in the France and UK will have tempered processor demand slightly although there are reports of some abattoirs killing on the Bank Holiday.
Prices across the continent broadly rose in the four weeks to 28 May. France was the only notable exception where prices fell by €7/100kg to €159/100kg. In the UK, prices did fall slightly in euro terms, but they rose in terms of GB pounds as Sterling has weakened over the month. Germany saw price increases of €5.67/100kg in the four week to 28 May, to €184.89/100kg. Price gains in Southern Europe were more muted with the Spanish price rising by €2.29/100kg and the price in Portugal increasing by only €1/100kg, settling at €167.26/100kg and €186/100kg respectively.
It is strong export demand that has underpinned the pigmeat market over the last few months, while domestic EU demand has been relatively lacklustre. If European consumers are inspired to break out their barbeques, then recent prices rises could well be sustained in the short term.
AHDB Market Intelligence
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