November 11, 2003
Imports Into UK Pig Market May Cause Prices to Level Off
The UK pig market is influenced by the continued flow of imports, with a widening gap between imported and domestic pig values causing UK prices to level off.
The average European mainland average price for pigmeat is now 80.2p/kg compared with a GB baconer average of about 110p/kg.
Meat traders are complaining that rising imports from the continent are starting to significantly undercut domestic quotes in the run-up to the vital Christmas trading period.
The UK Adjusted Euro-Spec Average (AESA) and Deadweight Average Pig Price (DAPP) have continued to improve due to the shortage of domestic numbers.
The AESA rose to 106.59p/kg, as of week ending November 7, with the DAPP closely behind at 106.31p.
But these may start to level out or decline if imports continue.
Spot baconer quotes fell into the 110-115p/kg range last week, with lighter weights at a premium of between 3p and 5p.
The comparatively static value of the Euro, priced at 68.6p, has also put a brake on further cull sow price increases, which are trading at 65-68p/kg.
Weaner quotes are being affected by fears over rising feed prices, with the Meat and Livestock Commission 30kg average at 34.26 sterling pound ex-farm.