The EU pork market sentiment was reportedly mixed during the week, with prices declining slightly compared to the previous week. German and Spanish pork prices were unchanged week-on-week (w-o-w), while French and Polish prices dropped marginally. Elevated prices have negatively impacted domestic demand in both Poland and France. While supply remains tight across the EU, high domestic prices have negatively impacted domestic demand. Even though buying interest was supported by seasonal demand from the barbeque season, this additional demand was reported to be below expectations. The Mintec Benchmark Prices (MBP) for Pig Deadweight Grade S EXW Europe [Mintec Code: BW56] was assessed at €2.40/kg on 16th May, down 1% on the week.
International demand remains a focal point for EU producers. High EU prices are already making it difficult for producers to be competitive on international markets; for instance, US and Canadian pork is priced at lower levels. Further, the latest Chinese production data indicates growing domestic production. The Chinese National Bureau of Statistics announced last week a moderate increase in Chinese pork production at 1.9%, but 199 million pigs were slaughtered. This was 1.7% more than in the same quarter last year. The pig herd at the end of March was 431 million head, up 2% year-on-year. The National Development and Reform Commission (NDRC) estimates that the current pig production is sufficient to feed the population.