Pig market still in a corner where blows are falling

When can pig prices finally stabilize? Many in the sector ponder this question. For now, however, the market has bad cards in hand, as the thought is that Germany will again cut prices. The DCA Beursprijs has no choice but to undergo a new correction. The stabilization of the VEZG quotation in Germany this week seems to be merely a temporary pause. German slaughterhouses are creating a lot of sentiment and hinting at further decreases. If not this coming Wednesday, then the following week, that is the thought. Meanwhile, there will be a slaughter day off this coming Friday due to the celebration of the Day of German Unity on October 3rd. Therefore, the supply of pigs is especially ample. Too expensive for the world market In the Netherlands, there is a growing need to supply pigs to Germany, but that is not easy. Premiums are being adjusted downward there, and German slaughterhouses are passing on pigs. This in turn allows Dutch slaughterhouses to set their own plans, as they did last Wednesday by further lowering pig prices. However, pig prices are still not competitive compared to the world market, where the Brazilians reign supreme. The problem is that the meat trade is faltering. However, the panic surrounding Chinese tariffs has slightly receded to the background. With a bit of luck, things might stabilize soon, although the market is said to be saturated due to the ample supply in Europe. Additional sales in the world market would help, but European meat parts and by-products are not yet interesting, partly due to the strong euro. It is a wait for the Christmas demand in Europe, but it is still too early for that. DCA Beursprijs further down In short, the market is in a difficult position. Due to the further dropped slaughterhouse quotations in the Netherlands, the DCA Beursprijs is not keeping pace. Based on the submissions, the quotation for slaughtered pigs decreases by €0.05 to €1.72 per kilo. The price of live pigs falls by €0.04 to €1.33 per kilo.