June 1, 2007

EU pig production remains volatile

The European finished pig market continued to stabilise as the number slaughter pigs is declining throughout Europe, and has met demand on the part of the slaughter companies. However as slaughter was less this week many EU countries have been suffering supply shortage, thus, majority of quotations remains unchanged in Central Europe.

In France and Spain, prices hardly changed in recent weeks, but a "touch-and-go" trend of prices is now being monitored. Some quotations are up by six cents within a week due to the limited offers to meet increasing demand as a result of the holiday season ahead in these countries.

In Denmark, experts are worried about the latest development on the processing field, which directly impacts the cull sows market. The market is burdened by the supply being comparatively capacious, the warehouses being filled and prices going down for beef. But the Danish pig sector is not depending on the good run of its pork sector as it expects the processed-meat-market to loosen again within the next few weeks.