2024-08-12 19:28:49
Economically, most pig farmers are doing relatively well this year – but sluggish demand in the summer has caused a dip in prices.
Pig farmers are feeling the effects of the current low demand for meat: slaughterhouses have reduced producer prices in the past two weeks. The disappointing business on the meat market was cited as the reason, said Klaus Kessing, market expert at the German Pig Farmers’ Association (ISN), based in Damme, Lower Saxony.
The price reduction is on average around 22 cents per kilo, explained Kessing. The barbecue business in particular has fallen short of expectations. “People had hoped for a little more, especially at the beginning of the summer,” he said. Demand has since increased again somewhat, but the season has not been particularly good: “That’s because of the rainy summer.”
The drop in demand in the summer months is basically an expected seasonal effect, explained Kessing. The summer holiday season is generally a time when relatively little meat is sold, which is due to the travel season: many customers are not in the country at that time. However, in most years the drop in producer prices only hits farmers later, in late summer or autumn.
Pig farmers are in a relatively good position this year, said Kessing. “Prices were well over two euros per kilo of slaughter weight until recently, and feed costs have also fallen significantly again.” The situation has deteriorated somewhat in the meantime. But compared to the situation in 2021 and 2022, when there were outbreaks of African swine fever in addition to the corona pandemic, the situation is currently much better overall.
This is shown by the fact that the number of pigs has stabilized somewhat: the most recent livestock census counted just as many pigs as in the previous year. “That is a good sign that things are going a little better again,” said Kessing.
According to the Federal Statistical Office, the number of pigs kept on May 3 was 20.9 million, which was almost unchanged compared to the same day last year (-1,200 animals). However, the number of farms fell significantly in the same period: with 15,700 pig farms, there were 3.4 percent fewer than in the previous year.
Meanwhile, there has been a slight increase in the number of pigs slaughtered – 21.9 million animals in the first half of the year means an increase of 0.4 percent, for the first time in eight years. However, Kessing said he does not believe that there will be a significant increase in stocks and slaughters again.
African swine fever (ASF) is a major concern. This is an important issue in Hesse, as there have been a number of cases not only in wild boars, but also in farmers with smaller herds. The situation is very stressful for the farms in the affected regions. The other federal states are also keeping a close eye on the situation, fearing that the animal disease could spread further. “Everyone is always worried that the ASF will continue to spread,” said Kessing.