Live pigs market: the price reclines but slower than expected

Ukrainian pork is cheapen as expected and demonstrates the relative restraint of downward movement. On the second week of January the lower price range came down to 26.5 UAH/kg. Thus, the kilo of meat pork (live weight basis) cost to processors 27.60 UAH/kg in average.

Purchasing agents notice that price decrease continues but slower than expected. The reasons is weak market outlet from holiday break as well as existent price level that is the limit of payback for many producers. The slight relieve is the vigorous trade before holidays.

Producers point out that «festive campaign» seems to be more like a good month but not the holiday bam. That’s why; at the end of winter vacations the sale is weak but prompt and has all chances to tickler over the start of fasting period.

The most powerful factor that amps up the tension on market is external pork trade, or rather closing of Russian Federation and potential threat of import. Nevertheless some producers expect price increase on the third week of January (about +0.5 UAH/kg). So, the planned price range is 27.5-29 UAH/kg this week.