May 13, 2011
EU pig prices remain flat
The European slaughter pig market seems to be mostly stable this week.
The quotations are collectively moving around the level achieved already. The German quotation found itself caught in crossfire. On Thursday (May 12) and Friday (May 13), the slaughter companies exerted pressure increasingly, saying that it was a result of slower meat sales and the loss of tension related to it. Yet, with the weekend weather being suitable for barbecuing and with the live-animals' offer being well placed, the green side was able to maintain unchanged prices. In Belgium, the live-animals' quotation was set downward by EUR0.01 (US$0.014). According to what some market participants said, the previous week's price increase had been too high.
Quite a bit of indignation was aroused among the Dutch producers. In this context, loud criticism was expressed by "De groene Belangenbehartiger" (DGB) with regard to the pricing as made at the Utrecht stock exchange. Rather untypical, the Dutch quotation deviated from the German leading quotation, thus, ranking last again now among the five European member countries richest in pigs after the Danish quotation's sideward movement.
Spain set the course for a noticeable price increase, thus maintaining its lead by the price level of a corrected EUR1.714 (US$2.45). Positive impact is given by the lifting of the Russian bans on trade for meat from Germany. As of now, pork imports from Germany and that of related products are allowed again without needing laboratory tests for dioxin contaminations beforehand. This goes for pork and pork products produced before November 2010 and after May 1, 2011.
After last Friday's (May 6) disagreements between the red and green sides, the German market situation appears to be increasingly balanced. The quantities on offer are being well accepted and the live-animals' supply presents itself in a stable way.
