Soaring UK pig prices boosted by global export opportunities
© Tim Scrivener Farmgate pig prices continue to break records in the UK, with Asia and Europe providing valuable export opportunities for UK pork.
Higher prices in the EU are also helping to strengthen domestic farmgate prices.
In the week ending 25 February, the EU-spec standard pig price rose by 0.6p/kg on the previous week to a new high of 207.7p/kg deadweight.
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However, despite rising farmgate prices, some producers are still making losses due to high fuel, feed, and labour costs.
Asian market
In 2022, China was the UK’s largest single export destination for UK pork, with 126,700t exported at a value of more than £200m, according to the AHDB.
Japan is another major net importer and is providing a valuable home for UK pork exports, which increased by more than 50% in value in 2022, with over £5m of product shipped during the first 11 months of the year.
The AHDB is attending Foodex Japan this week, one of Asia’s largest food trade shows, along with six exporters to encourage further export trade.
Jonathan Eckley, AHDB’s head of Asia Pacific, said: “Japan is a growing market for our pork exports, steadily rising each year as demand for our high-quality meat continues to grow.
“We are keen to maximise on the opportunities that Japan offers and help our exporters grow their business through face-to-face meetings with importers and networking opportunities that AHDB has created.”
European market
Pigmeat prices in the EU have shot up in the past month due to tight supply, closing the gap to UK pork markets and making the UK more price competitive.
Prices on the continent are currently 76% higher than this time last year. During February alone, EU deadweight pigmeat increased by 20p/kg to average 198.87p/kg for the week ending 26 February.
Industry reports suggest that supply in Europe is likely to get tighter into the spring and this could offer further support to values in the coming months.