May 27, 2013
German pig industry group ISN said that Europe's pig producers can expect a bright outlook as its downward trend has come to a halt, having hit rock bottom.
"The German, Belgian, Dutch, Danish and Austrian quotations are moving sideways, all of them showing balanced market situations." The group reported that the slide into more summery conditions has provided the stimulus needed for the market, adding "According to first reports, the past weeks' price reductions have had a positive influence on export demand."
After a period of depression, the French quotation went up slightly on Thursday (May 23). Yet, French producers are still not satisfied with the price level of a corrected â‚¬1.57 (US$2.03) reached so far and are still pushing for further price increases.
In Spain, producers have had to accept a price drop for the third week running, though the country remains atop the price structure list of top five EU producers, with a corrected price level of â‚¬1.754 (US$2.26) per kilogramme slaughter weight. However ISN said that a flagging export market could further deflate Spain's current performance.
Nevertheless, turning to the domestic market, ISN claimed "an optimistic market sentiment" in Germany, with demand currently outweighing supply, could spell success for producers. The group cautiously predicted that "prices are expected to remain unchanged at least."