US Experiences Sharp Increase in the Price of Pigs, While Germany Records a Decrease

The price of pig in the US pig prices is said to have increased suddenly since the summer, while that of Germany have declined in price over the same period, according to an analyst, Bethan Wilkins of the Agriculture and horticulture development board.

 

Since mid-September, the US Iowa/Minnesota carcase price has stayed at around $1.40-$1.45/kg

(approximately €1.20/kg), the highest prices for this time of year since 2015 – a huge rise in comparison to June, when prices were little over $0.60/kg.

 

The German reference price has been about €1.32/kg for over a month, falling from €1.52/kg in early September, due to the outbreak of African Swine Fever (ASF) in the wild boar herd, and falling from over €1.70/kg during the summer.

 

According to Interpig data, however, the differences in prices are generally not entirely comparable between countries as on a like-for-like basis the two quotes would probably be even closer together with German producers typically facing larger deductions (e.g. for transport costs).

 

Ms Wilkins speaking on the issue said: “Germany is a large exporter, so these restrictions on pork marketing have understandably dampened the value of German pigs. However, this also created an opportunity for other rival exporting nations, such as the US. ASF in Germany has therefore helped support the US pig market.”

 

She also said that it is difficult to see any potential upside for German pig prices, unless China lifts the ban on importation of German pork into the country.

 

She added,” Usually, US pork is considerably cheaper than EU product, but the current developments mean that right now, the most competitively priced pork is probably much closer to home.”