Following fluctuating prices and the emergence of a divide, which has seen producers in some countries continue to benefit from higher prices while others remain trapped in a cycle of lower returns, the EU mature-pigs-for-slaughter market appears to have stabilised this week.

In line with predictions made last week by analysts from German industry body ISN, prices have remained unchanged almost everywhere in the EU. The sole exceptions are the Netherlands, where prices fell by 1 cent and France, where price increases were recorded on Thursday; in a Breton auction prices rose 3.5 cents.

Although prices did not change in Sweden and Britain, producers in these countries will benefit as a result of currency fluctuations.  

In many EU member states, quantities on offer are reportedly decreasing. However, ISN said Austrian storekeepers are relocating more frozen meat, which is not good for fresh meat sales; the German analysts posited, “It seems that with the market situation as it is currently the storekeepers intend to minimise the price risk they would have to take.”

The static position of the pig market will benefit Southern European states most. These countries are where price rises occurred in past weeks. There, good weather and an influx of visitors on holiday are bolstering producers.  

ISN analysts have accused slaughter companies in Germany of keeping prices artificially low in the country. They claimed this is having an effect on producers in Germany and surrounding countries. ISN today said, “By various European market participants, Germany is being classified as the brakeman within the European price structure. The considerable price gap between Germany and countries such as Denmark, France and Spain works as a clear signal to that. Even the bargain offers made by the German slaughter companies are partly regarded as a burden to the domestic price level.”

The big organisation said it expects prices will remain steady over the week ahead, as supply and demand are well balanced throughout much of the EU.

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