Farmers Question Disappointing Pig Price Drop

Disappointingly, the remaining pig processors, that had held the price over Christmas to their suppliers, followed the lead of Rosderra and Kepak and lowered their pig price by 4c/kg for this week’s pigs.

Explanation for this price drop range from poor export markets, the large numbers of pigs available to process and the low pig price in some EU countries. The realty is that the domestic market, which is the most important outlet for Irish pigmeat, was buoyant in the run up to the Christmas festive period. Reports for the industry show no big increase in the volume of product in storage above the norm for the time of year. With the high weekly kill in late 2017, this is testament to the good demand, especially in the domestic Irish market. Many pig farmers are questioning the transparency of the pig price, especially as the price is now below the cost of production at €1.44-1.46c/kg.

Ireland’s percentage of the EU price has improved and is currently 101% of the EU average price as reported to the EU Commission for the week commencing 25/12/2017.

Factory pig throughput in Republic of Ireland export plants for the week ending January 6th 2018 was 51,453 head which was 3,630 head less than the last week of December and 2,022 more than in the corresponding week in 2016. Slaughtering’s in ROI export plants is 1.1% ahead the same period in 2016.

Export Plants: Top prices on a flat rate basis </= €1.44c/kg in Kepak, Staunton’s and Rosderra, </= €1.46c/kg in Dawn and Cookstown.

Sows: 65 – 80c/kg DW.

Weekly Slaughtering’s: Week-ending 06/01/2018 Pigs: 51,453 Sows: 1,876

EU-27 PIGMEAT REFERENCE PRICE WK COMMENCING 25/12/17

Irish price €1.44kg

EU–27 average price €1.42kg

(Grade E pigs – 55% to 60% lean meat excluding VAT but including transport and bonuses).