The high domestic pig prices seen during the first half of 2020 could be sustained for the rest of the year, according to the latest AHDB quarterly Pork Outlook report.
This optimistic conclusion is underpinned by tight supply, good retail demand and anticipated further export demand and the impact on global prices of the ongoing shortages caused by Asia’s African swine fever outbreak. However, the levy body warns that the situation is ‘not without risk’, including COVID-related imports bans, while Brexit adds an air of uncertainty.
The SPP in the last week of June stood at 165.3p/kg, the highest level this year, up 0.37p on the previous week and 14.4 higher than a year ago. Despite the global market turmoil this year, the price index has risen steadily from around 162p/kg at the start of the year.
EU pig prices have dropped sharply during lockdown, however. By mid-June prices were hovering around €163/100kg. The loss of foodservice demand has led to oversupply problems, with a lot of product going into storage.Read full article Share on twitter