World: Pig market shows early signs of seasonal uplift

Published Apr 1, 2024

Tridge summary

The pork market is showing signs of recovery with a slight increase in pig carcass prices and a decrease in feed costs, aiding producers after the financial crisis of 2021/22. However, challenges such as a smaller pig herd and tight EU supply persist. The UK's pork trade balance has shifted, with increased imports and more competitive EU pork prices. Globally, the USDA expects increased trade, driven by China's surging pork production and anticipated tighter numbers in 2024, which may increase China's import requirements. Despite a seasonal dip, pork prices are expected to rise, highlighting China's significant role in the global pork market and its impact on UK exports and carcase balance for processors.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Prices paid for carcases weighing 70-104.9kg have edged higher in five of the last six weeks, rising 0.4% from a year-to-date low of 212.55p/kg to reach 213.43p/kg in the week ending March 23. "Despite evidence of a slight seasonal upturn, prices have still slipped behind year-earlier levels for the first time in two years", says QMS Market Intelligence Manager, Iain Macdonald. "Still, they were up 35% on their five-year average in mid-March, reflecting the sharp market rebound between spring 2022 and 2023". Pig producers will be relieved that the price of feed has been falling. Defra’s animal feed price series shows that grain prices in January were down 25-30% on 2023 levels. Protein meal prices have also fallen sharply since a brief rebound in autumn 2023, taking them down over 20% on the year. Since then, market data suggests that there has been further downwards pressure on both grain and protein meals, although grain prices have rebounded slightly in the second half of ...

Source: EuroMeat