As expected, during the last week of February, farm gate price on live pigs felt some rise. Processors bought slaughter pigs of the Ist category by 24.5-23 UAH/kg and the IInd — within 23-25 UAH/kg. That’s why average price indices of month’s end even have exceeded purchasing prices in the second decade.
There are several reasons for upward trend. On the one hand the majority of market players consider the so-called decline ‘bottom’ has past. On the other, they expect the revival of demand because of long-term holidays at the beginning of March, followed by celebration of International Women’s Day.
On top of that, the stabilization of live pigs on offer is noted. At the present moment it doer not overlap demand as is used to throughout January. As for consumer activity at retail, according to processors, the revival seen is rather small. The auction on last Friday, influenced by these expectations, closed with an increase of planned price (for current week) by 0.2-1 UAH/kg. For that reason, pig producers expect to buy live pigs of Ist category within 26-27.5 UAH/kg at the beginning of March.
Dynamics of average farm gate prices on live pigs of Ist category (according to meat processors), UAH/kg
Source: Analytical Department of APPU