Pig prices see small recovery following sharp decline

There has been some recovery in the EU-spec SPP following a sharp fall in prices earlier this month
There has been some recovery in the EU-spec SPP following a sharp fall in prices earlier this month

Weekly pig prices have seen a modest increase following a sharp decline earlier this month, according to the latest figures.

The EU-spec SPP moved up in the week ending 9 October, reaching 151.01p per kg, which is over 2p higher than the previous week.

However, the prices remain a slightly below the five year average for the time of year.

The SPP reflects the price of all standard pigs bought by GB processors in the previous 7-day week and is a simple average of all the prices paid in that week alone.

Analysing the figures, the AHDB said the uplift in prices came as estimated throughput dropped back once again.

GB slaughter during the week was estimated as 182,300 head, well below last week and 2% below this time last year.

Bethan Wilkins, senior analyst AHDB, said: "Last week, reports indicated throughput was supported by some extra batches of low-priced pigs, intended for markets where only minimal butchery is required.

"There were fewer of these pigs in the sample this week. While this means the average price paid for pigs overall was higher, making progress on the backlog clearly remains very difficult.

EU prices also remain low, which represents a challenge to the price-competitiveness of British pork, Ms Wilkins explained.

"Altogether, despite the fluctuation in the SPP this week, further downward pressure can be expected," she said.

The EU-spec APP for the week ended 2 October saw a significant decline, but not as large as the SPP for the same week.

At 156.00p/kg, the average was 2.95p down on the week and broadly in line with the five-year average for the time of year.

The gap between the two price series widened to 7.18p, which is the largest difference since the series began.