The market lurched towards the end of the year with very little spark, reports marketing group Thames Valley Cambac.
Contract prices generally trended downwards with processors' price inputs mostly lower. Supply remained ample with good growth rates being reported from many units.
There was very little spot bacon trade with quotes as low as 110p being heard but not accepted.
"The fresh meat market was very disappointing with negligible increased demand so close to Christmas — cheap imports being blamed by many outlets," reports TVC.
The recent Kantor market study painted a bleak picture on consumption, suggesting in the 12 weeks to mid-November, there were 550,000 fewer purchases of pork and pork products than the comparable period a year ago. "Coupled with an increase in pig meat production, this is a very worrying statistic."
The European Union pig reference price was down 0.8 percent last week compared to the week before; down 7.6 percent since last month; and down 8 percent since last year. Weaners are down nearly 11 percent on the year.
Many continental producers, and especially the smaller ones, will be surveying their steadily growing unpaid bills this morning, and wondering whether they will be quitting pigs in 2016.
The situation on the continent has been described as "carnage" by one British analyst, as prices continue to nose-dive.
European Union pig reference prices show incomes plummeting compared with just a month ago.
Netherlands down 14p.
France down 12p.
Spain down 11p.
Germany down 7p.
Denmark down 6p.
The United Kingdom reference price has fallen too, but by just 1p a kilo, so far.
Real life prices, as opposed to reference prices, show Netherlands and Denmark at circa 84p, and Spain, Germany and France at circa 88p.
Established commercial producers will weather the storm, as they've always done, but many smaller producers — and there are lots of them on the continent — will be quitting next year, unless prices start improving soon.
Even some Danish producers, currently said to be getting only £24 for weaners, might have to start thinking about their future in the pig industry.
But storage aid starts in January, and the Danes will be the main beneficiary by using it tactically as a de facto export refund — freezing down product for export, which they would have to do anyway, picking up the storage aid, and then withdrawing it from storage when they're ready to export.
Storage aid includes lard this time, so it's likely to play a positive part in stabilising prices... but some producers will be wondering if this just delays the inevitable.
