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EU pig farming in crisis as higher standards drive up costs

Published Jun 13, 2023

Tridge summary

The European Union's pork industry is projected to experience a significant decline, with production anticipated to fall for a second year in a2023, with a cumulative drop of around 10%. This decline is attributed to high livestock regulations costs, dampened demand, and disease, including the spread of African swine fever. The industry has also been impacted by the overhaul of EU livestock regulations, which could phase out cages and extend industrial pollution limits, leading to increased costs and potential exclusion from the domestic and export markets. Additionally, the industry is under pressure to reflect society's focus on animal welfare and environmental protection, contributing to a decline in volumes over the next 5-10 years. This decline is further exacerbated by a decrease in meat consumption and the impact of other swine diseases. As a result, the EU's share of pork production may have peaked, and the industry is facing significant challenges that are expected to continue into the future.
Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Record hog prices could have spurred producers like Carole Joliff to expand their herd, but costly livestock regulations, dampening demand and spreading pork disease point to a long-term decline in the European Union, the top pork exporter. "We'd like to invest, but we don't know where we're going," said Joliff, a pork producer in Brittany, France. Pig prices soared in Europe last year as production was reduced by high grain and energy costs. Unlike previous cycles, European breeders are in no hurry to restart production, despite this year's record prices, which have restored margins on many farms. European Union pork production is set to fall for a second time in 2023, taking the cumulative decline to around 10%, and production could fall further in coming years, analysts say. "It's a structural change," said Jean-Paul Simier, a meat analyst and contributor to French commodities magazine Cyclope. "It's a de-intensification of European production." The European Union's pork ...
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