- VEZG lowered its recommended price for fattening pigs to 1,32 euros/kg, a level not seen since mid-February of 2022.
- Converted at the exchange rate of 1 EUR = 4,40 zł, the price in Germany is approx. 5,80 zł/kg for pigs with a meat content of 57 percent.
- The market in Poland may feel the effects of the decline at VEZG – the theoretical reduction in purchase prices is approximately 30–35 gr, although the industry is hoping for a milder scenario.
Stabilization on the VEZG exchange lasted only a week. Let us recall that, during the session on 14 October, the association decided to lower the recommended rate from 1,45 to 1,40 euros per kilogram of fattening pig with a meat content of 57 percent. Last week’s quotation did not bring any changes, but yesterday the association decided on another downward adjustment, this time by as much as 8 euro cents. This means that, at least until next Wednesday, the recommended price for fattening pigs across the Oder will be 1,32 euros per kilogram. This is a level not seen since mid-February 2022, that is, before the outbreak of the war in Ukraine.
Converted into zlotys (at today’s euro exchange rate: 1 EUR=4,40 zlotys), the German price is currently around 5,80 zlotys per kilogram of a fattening pig with a meat content of 57 percent, equivalent to our E class under the EUROP carcass classification.
At the end of last week, domestic purchasing points were paying just under 5,90 zlotys net per kilogram for class E. Although we have heard no reports from meat processing plants of an oversupply of live pigs, yesterday’s reduction is unlikely to leave price lists at Polish slaughterhouses unaffected. In theory, the reduction resulting from the change on the German exchange should be around 30 - 35 groszy, although we are hoping for slightly milder declines.