EU sow prices turbulent towards the end of summer
After a relatively stable summer, some movement has been recorded in EU sow prices in more recent weeks.
German and Dutch prices, which remain closely aligned, rose sharply at the start of September. Despite this, at the highest points, both prices remained €0.22 below year earlier levels. More recently, both prices have come back in line with levels seen over the summer and are currently around €1.00/kg. Danish prices experienced a similar trend to the German and Dutch prices, albeit at a lower level. Meanwhile French prices never experienced a similar lift and recently have been declining. The French and Danish prices are currently trending together at €0.76/kg.
A similar trend was recorded in finished pig prices, rising over €0.09/kg between the first weeks of August and September, before falling almost €0.16/kg between September and November. Much like the sow price, the finished pig price remains below year earlier levels, by €0.10/kg.
The discovery of African Swine Fever in Belgium may have contributed to the decline in sow prices for a number of EU countries. However industry reports before the discovery suggest that underlying demand for sow meat in Europe was poor, which has likely also been weighing on prices. In the last few weeks, the influential German market has recorded more stable prices. This could be a sign that supplies are coming back in line with demand levels.
Tom Forshaw, Analyst
Tom.Forshaw@ahdb.org.uk, 024 7647 8647