Sterling forces pig prices still lower

By Peter Crichton

UK pig index prices have continued to slide with the latest AESA quoted down 0.35p/kg deadweight to stand at just 75.4p.

Weaner prices also remain flat, with the Farmers Weekly 30kg average of £18.56/head. 7kg pigs are quoted at between £6 and £8.50/head ex farm

With the Pound hitting DM3.12, imports continue to undercut the home market and over 17% of all Dutch pigmeat imports are penetrating the UK market alone.

The AEX Dutch pigmeat futures market remains negative, with December contracts traded at about 53p/kg liveweight and the following two months also in the 53 to 56p range, well below cost of production.

The strength of the Pound is also hitting cull sow prices, which are struggling to hold the 40p/kg deadweight mark and could fall further in the run up to Christmas,

At current levels the average cull sow is worth no more than £55 which will throw up big end of year balance sheet valuation losses.