Start of a seller’s market for pigs?

After almost four months of falling prices, spot and shout prices have started to move upwards, writes pig market commentator Peter Crichton. This is despite the latest Deadweight Adjusted Pig Price easing a shade from 139.52p to 139.36p/kg in the week to 25 February.

The latest weekly contract prices from the five main bacon pig abattoirs range from 137p/kg at Tulip and Vion to 140p/kg at Woodheads. Cranswick and Gills are on 138p/kg and 139p/kg respectively.

Spot buyers were also active in the market earlier last week, lifting their quotes by between 3p and 5p/kg and most spot bacon is now traded in the 137p-140p range, with supplies reported to be on the short side and prospects of further price rises in the weeks ahead.

The relatively weak performance of the euro – which traded on Friday (2 March) at 83.29p compared with 84.87p a week earlier – did little to take the edge off cull sow quotes. These continue to remain firm, with further rises of 1p to 2p/kg recorded in some areas and export abattoirs now prepared to pay 120p-126p depending on specification.

The latest AHDB 30kg ex-farm weaner average has remained almost static at £44.67/head because contract weaner quotes are linked to the DAPP, but spot weaner prices are continuing to improve and are generally £2-£4 above AHDB values.

Weaner prices will remain influenced by feed costs, which seem to have levelled, with the latest ex-farm feed wheat quote almost unchanged at £160.50/t.