All time high recorded for producer share of retail price
20th Jul 2017 / By Alistair Driver
Producers are receiving the highest share of the retail pot since records began, as prices continue to rise.
The share increased by 1% on the month in June to reach 43.8%, the highest proportion received by producers in records dating back to 2009.
While the average retail price remained unchanged on the month in June, the EU-spec APP rose by 1%, which led to the producers’ share rising once again. With farmgate prices remaining considerably higher than in June last year, the current producers' share is nearly 11 percentage points higher.
The very latest figures from AHDB Pork show the EU-spec SPP is fast approaching a record high. It climbed for the 20th consecutive week to reach 164.20p/kg last week, the second highest price recorded since the series began in April 2014, fractionally behind the May 31, 2014 figure of 164.22p/kg. The current quote is over 36p higher a year ago.
The less good news, however, is that domestic demand is still struggling. Primary pork volume sales decreased by 3% year-on-year during the 12 weeks ended June 18, according to the latest data from Kantar Worldpanel. However, a 5% increase in the average retail price meant that overall spend was up by 2%.
For more on this story, see Pig World