May 2, 2007

UK's pig herd up by 2 percent

UK's national herd has increased by 2 percent to 449,000 head, data from, the Meat and Livestock Commission (MLC) show.

MLC says that the increase is partly due to a miscalculated herd size in December 2005. But the numbers are likely to drop again by the end of the year because of the increased costs arising from Integrated Pollution Prevention and Control and legislation surrounding Nitrate Vulnerable Zones. Moreover, erratic feed prices and pressure on US grain markets for biofuel will also affect production with output prediction to plunge by 440,000 head by the end of 2007.

But reports of an increase in sow productivity to 20 pigs per sow per year can post a 3 percent increase in 2008. The projected rise and clean pig slaughters could push up hog production by 9.34 million this year, up by almost half a million pigs on 2006 figures.

Average pig carcass weights--currently at 75.6 kilogrammes--are expected to increase again due to higher productivity and augment 6 percent to the country's total pork production. Should this be the case, this will be the first annual pork production rise since 1998 and MLC expects a further 1 percent increase in 2008.

Higher slaughter could also force a decline in pork imports but the fact remains that imported pork remains more competitive.

UK pork tonnage is forecast to rise to 107,000 tonnes this year from 102,000 tonnes in 2006 due to an increased cull sow and higher gilt replacement rates by a number of breeding companies.

EU pig producers has to face the escalating feed costs as farm feed wheat quotes are heading towards GBP 100 per tonne, compared with GBP 71 per tonne a year ago. Unless EU pork values increase by more than 5 percent for the second half of this year, many UK herds will down size leaving the country's national status at below 3.5 percent of the EU total.