A constant increase in global pork production with weak consumption, according to Rabobank

Published 2023년 11월 20일

Tridge summary

Emerging regions are recovering from productivity challenges in 2022 and 2023, with an improved overall health of the herd. Cost reduction efforts have increased production per sow, but have also exacerbated regional oversupply. Feed prices are rising, but pork consumption remains stable and is benefitting from the high cost of other proteins. Rabobank expects sluggish global trade in the last quarter of 2023 due to high inventories and low pork prices in key importing regions. North America is expected to see increased production and pressure on swine markets, while Brazil is predicted to benefit from decreased feed costs. Pork production in the European Union and Great Britain has declined, and exports remain weak due to high prices and a weaker global economy. China's pork prices are volatile but expected to remain stable in the fourth quarter, with gradual price increases in 2024. Southeast Asia is experiencing falling pork prices, but expects an increase in the fourth quarter. Japan's domestic pork production is starting to rise, and chilled product imports are expected to increase in the fourth quarter of 2023.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Several regions on the verge of collapse According to Rabobank , several key emerging regions appear to be recovering after the productivity challenges of 2022 and 2023. Although disease risk remains a problem in some regions, the overall health of the herd has improved. In a statement, Rabobank stated. that a renewed focus on cost reduction – given inflationary pressures resulting in the elimination of less productive operations – is also contributing to increased production per sow. While this improvement is a welcome trend and reduces costs, the additional production exacerbates regional oversupply and impacts the market.” At the same time, breeding herd reduction is slow in most countries outside Europe and South Korea, despite continued pressure on margins and limited optimism about a rapid improvement in global trade. Feed prices are rising, consumption is growing slower Corn and soybean prices fell in the third quarter of 2023 after a good harvest in North America helped ...

Source: Farmer.pl