Pig prices continue to edge upward
The EU-spec SPP continued its upwards movement in the week ended 26 May. The measure currently stands at 148.17p/kg, a rise of 0.23p week-on-week. Despite the increase, the latest quote is still behind year earlier levels, with the difference widening to 11.93p.
Reports suggest that supplies continue to be very tight, with some producers struggling to fulfil commitments. However, estimated slaughterings for the week ending 26 May totalled 175,700 head, an increase of 2% week-on-week. This would also be 8% ahead of the same week last year. Note the estimates are based on the AHDB SPP sample, adjusted to reflect current Defra slaughtering figures which are subject to revision. Nonetheless, even when looking at the AHDB SPP sample alone, throughput increased by 6% compared to the equivalent week last year, and over the past 3 weeks has averaged 3% higher.
Meanwhile, average carcase weights declined by nearly 850g on the week to 82.54kg, the lowest weekly average of 2018. Carcase weights would be expected to record some seasonal decline, however, the average was also 270g below year earlier levels. Reports suggest positivity in the fresh meat market means smaller, lighter pigs are in demand.
The EU-spec APP for the week ended 19 May also recorded an increase, rising by 0.56p week-on-week to 150.86p/kg. However, the measure is almost 12p below the same week last year. In the equivalent week, the SPP increased by 0.73p, resulting in the difference between the APP and the SPP narrowing slightly to 2.74p.
The 30kg weaner price in the week ending 26 May averaged £52.30/head, a drop of £1.01 week-on-week. Meanwhile, the 7kg weaner price rose by £1.01 on the week, to £38.07 per head. Both price series remained below year earlier levels, by £7.60 and £5.24 respectively.
Felicity Rusk, Trainee Analyst