Cull sow prices are falling rapidly due to an over-supplied EU market, as rising finished pig prices are still no match for record costs.
The news that the SPP had breached 180p for the first time in its history should, in normal times, be lauded by the industry, according to TVC. However, in the same week, AHDB announced the COP for May at 240p, showing the current gulf between the market and production costs.
“Pig meat demand was described as steady by most processors,” TVC said in its latest weekly market updater. “All bar one stood on with their contract contributions, indeed one major has now not increased for 11 weeks. It is galling that we are fighting for pennies here and there when we are so far below COP.
“The fresh meat market improved again, driven by decent demand from the Jubilee weekend. Cull sows was another matter, however, as prices tumbled another 8p due to the continued over supply in the European market. Continental prices eased in sterling terms as the Euro ended the week down 0.37p at 85.05p.”
Alistair Driver / Pig WorldRead full article Share on twitter