Throughout the past week lamb prices have increased sharply, with the weekly liveweight SQQ up almost 20p.

During the week ending 10 November the GB NSL liveweight SQQ increased to 269.05p/kg. Such sharp movement is uncommon and usually follows, or is followed by a correction, unless throughputs are low, leading to volatile prices.

Sharp movements are rarely sustained in the lamb market. There are two previous occasions in recent times, but both were downward price movements.

The first was in March 2020 when the old season lambs SQQ dropped suddenly overnight as the UK and France both entered their first pandemic-related lockdowns.

The other occasion was more recent and perhaps for less obvious reasons; in June 2021 lamb prices dropped sharply as they came off the record-breaking high spring price peak.

In the week ended 6 November the GB NSL deadweight SQQ rose 23p, to 556.5p/kg. Estimated kill for the week recorded a decline of 15%, to 221,000 head.

 

 

 

Rebecca Wright / AHDB

The NPA has called on George Eustice to support its calls for processors to accept ‘distressed kills’ of pigs on a liveweight basis to avert a catastrophic collapse of the Standard Pig Price (SPP).  

In a letter to the Defra Secretary, NPA chairman Rob Mutimer calls on Mr Eustice to take action to ensure the Government’s pig industry support package, announced in October, delivers on its key aim of easing the pig backlog on farms, rather than further damaging producers as it has the potential to do.

Mr Mutimer pointed out how the ‘distressed loads’ of heavy pigs processors have been taking from farmers at around 50% of their market value, are being fed into the SPP reporting mechanism, which is crashing prices even further. This has happened three times in the past few weeks, with the SPP falling nearly 5p twice and just short of 4p once.

The NPA has warned that if one processor, encouraged by Defra to take additional pigs, does so on this basis once a week, SPP will be around £1.17/kg by Christmas – against a current cost of production of £1.80/kg.  Farmers will soon run out of cash to feed their pigs, Mr Mutimer said.

“Defra did not stipulate that pigs being taken into either PSA or additional kills be paid on the price that they were originally contracted at, so this may well exacerbate the situation,” he said.

 

 

BY ALISTAIR DRIVER / PIG WORLD

Pilgrim’s UK, the world’s largest producer of higher welfare pork, has acquired quality lamb and beef supplier, Randall Parker Foods (RPF).

RPF’s two manufacturing facilities – an abattoir in Powys processing up to 20,000 lambs a week and a retail packing plant in Andover – will form part of Pilgrim’s UK’s Dalehead Foods division.

All 350 RPF employees, including its management teams, will remain in place under existing terms and conditions, with the business planning to invest further in the two sites.

Andrew Cracknell, Chief Executive Officer at Pilgrim’s UK, said: “Randall Parker Foods has a strong reputation as a processor of quality lamb and having worked with Dalehead Foods for almost 30 of the 40 years we have been producing lamb products this acquisition is a natural fit for both organisations.

“It will bring our lamb operations closer together into a single integrated supply chain which will benefit team members and customers alike, securing jobs, investment and growth for a sustainable future.”

Ron Randall, Chairman of Randall Parker Foods Limited, commented: “The shareholders of RPF are delighted to be able to confirm the acquisition and are so happy that the future of RPF will be secured and brighter, with the business in the safe hands of a company with the scope and resources of Pilgrim’s UK.’’

Jim Gaffney, Managing Director of RPF, will continue to oversee operations at the two sites. He said: “I am delighted for the employees, customers and suppliers of RPF who have worked so hard to establish the company’s reputation as the preeminent specialist lamb processor in the UK. The future as part of Dalehead Foods looks both secure and exciting. I look forward to working with new colleagues and our customers to achieve our common goals.’”

 

 

Nov 10 (Reuters) – Beyond Meat Inc forecast fourth-quarter revenue below estimates on Wednesday, as the once red-hot plant-based meat maker reported slowing demand in both grocery stores and restaurants, driving its shares down 19% in extended trading.

The company, which generates the bulk of its revenue from retailers, had cut its third-quarter revenue forecast last month as it took a hit from fewer people stockpiling plant-based burgers and sausages at home after they returned to dining out.

However, Beyond did not sell as many products at restaurants during the quarter either.

Sales of its faux meat fell at fast-food locations when the Delta COVID-19 variant hit and labor shortages caused restaurants to cut hours and trim menus, Chief Executive Officer Ethan Brown said in an earnings call.

 

 

By Uday Sampath Kumar and Hilary Russ / Reuters

The situation regarding pig numbers going through pork plants is unlikely to improve before Christmas, according to Thames Valley Cambac.

While processors made public announcements regarding improved numbers, the reality
was very different, TVC said in its latest weekly market update.

‘Although we protested, number allocations were derisory and showed no improvement over previous weeks,” it said.

“Producers are really struggling space wise and slaughter weights continue to breach new highs. Prices eased back again with both contract contributions and the SPP lower. Our consensus sees little change in this dire situation this side of Christmas.”

The fresh meat market remained challenged by cheap imports and prices eased again. The cull sow market was constrained due to a continental holiday so volumes required were limited.

European markets stood on and prices in sterling were enhanced by a stronger Euro that ended the week up 1.05p at 85.54p.

The weaner and store market has contracted further, with some contracted supplies now backed up.

There is no spot market as fatteners shy away from exposure to high feed costs and a very uncertain slaughter market, TVC added.

 

 

By Alistair Driver / Pig World

AHDB Pork’s weekly pig prices, slaughter data and commentary for Great Britain

 

Pig World / AHDB

A 20-30p/kg jump in liveweight lamb values has prompted calls for processors to offer more than £6/kg for lambs to secure volume.

Store lamb buyers will take heart from the early November rise after spending £85-£90 a head on long-term store lambs.

Many say the strong trade is “supply driven”, following a 9.4% reduction in sheep numbers in anticipation of Brexit, leaving breeding females at an eight-year low of 15.3-million head.

Carlisle’s SQQ hit 301p/kg on Monday (9 November), with Ross, Ludlow and Skipton among centres to see trade pass 280p/kg.

Livestock agent Stephen Kirkup said meat firms were short-staffed and had been very “hand-to-mouth” all autumn, with very little surplus in the chillers.

Mr Kirkup said: “I’d say the supply isn’t there, because good prices usually see farms selling more the week after, toppling the market – that hasn’t happened this autumn.”

A tail-end show of lambs achieved an SQQ of 281.1p/kg at Rugby on Monday (8 November), with the region’s supply currently seeing breeders’ lambs drying up and store lambs in limited numbers.

 

 

 

by Michael Priestley / Farmers Weekly

PARIS, Nov 9 (Reuters) – China has reported an outbreak of African swine fever (ASF) at a pig farm on the island province of Hainan in the southern part of the country, the Paris-based World Organisation for Animal Health (OIE) said on Tuesday.

The outbreak on a farm of 1,063 animals began on Oct. 23 and was confirmed on Oct. 31, the organisaion said, citing a report by Chinese authorities.

African swine fever is harmless to humans but often fatal for pigs. After it reached China in August 2018 the virus wiped out 50% of the country’s pigs within a year

by Sybille de La Hamaide / Reuters

The case for a network of local abattoirs has been well made, including in a recent report by The Prince’s Countryside Fund, but it may not be a realistic proposition, according to a retail butcher.

Stuart Minick, speaking at a panel session at the Scottish Smallholders’ Festival in Forfar Mart, said he did not expect to see a network of new abattoirs capable of handling hairy pigs and horned cattle.

“It is not a viable option but I think it is possible to make better use of what we have,” said Mr Minick.

“We can support existing abattoirs and encourage them to invest.”

Mr Minick, who is based in St Andrews and has nine retail outlets in Fife and Tayside, did however concede that rarer breeds had a place and that he could make a margin out of them.

“I recently handled a couple of Dexter cattle and the meat was all spoken for before the carcases arrived at the butchery,” he told the audience.

“It is very important to have a strong story to tell and it need not be about organic production.

“Most of the beef I sell comes from continental breeds from a farm only eight miles from the abattoir at Shotts. It is a good animal welfare story.”

 

 

by Ewan Pate / Farmers Guardian

The FAO’s latest Food Price Index for October indicates an increase in its international price index, up 3% on the previous month. After rising for three consecutive months, the index now stands at its highest level since July 2011. The latest increase was primarily led by strengthening in the world prices of vegetable oils and cereals.

Conversely, the FAO’s Meat Price Index in October was down by nearly 1% on September. Even though pig meat production is grain-intensive, international quotations for pig meat fell, principally underpinned by reduced purchases from China. Beef and veal prices also fell, reflecting a sharp decline in quotations for supplies from Brazil amid market uncertainly over the trading implications of BSE concerns. There were price rises for poultry and sheep meat, but these were not enough to counteract the fall for the other meats.

The FAO’s Cereal Price Index was up 3% from September and was 22% above its level one year ago. International prices of all major cereals increased month-on-month.  The FAO Vegetable Oil Price Index was up by nearly 10% month-on-month, marking an all-time high.

With cereals and oilseeds prices disproportionately high relative to the price of meat, profitability will be a challenge for producers everywhere.

 

By Bethan Wilkins / AHDB