August 8, 2006

UK pork analysts mull the pros and cons of heatwave

While farmers from the US to Europe are lamenting the heatwave rolling across the northern hemisphere, analysts say current temperatures may not be entirely bad for the UK pig industry.

Soaring temperatures baking most parts Europe have suppressed growth rates and reduced the supply of pigs onto the EU pig market, thus raising producer prices for pork 15 percent higher than the same time last year.

On the other hand, reduced growth rates have led to an accumulation of pigs in farms, leading to over-crowding and higher mortality.

Litters produced have also been smaller, thanks to the hot weather, according to reports from breeders. Producers are also struggling with cereal costs, which have risen over the last year.

To worsen matters, finished pig growth rates may improve when cooler weather returns, leading to more finished pigs being marketed at a time of low demand.

Still, better overall productivity and production levels when cooler weather returns is expected to increase producer profits.