December 8, 2006

EU pork prices reach their highest in 5 years

EU pork prices are reaching their highest in five years, according to an EU Commission report by Central Market and Price Report Office.

Despite high prices, profitability of the sector may be falling due to increasing feed and energy prices. EU pig production for 2006 is forecast to reach around 245m head, up approximately 1.4 percent from last year.

Germany hopes to see an above-average increase in production of approximately 2.9 percent. Increase in production is also expected in Poland, Slovenia, Spain, Denmark, Italy, Austria and the Netherlands while production is expected to fall in the Czech Republic, Hungary, Slovakia, Belgium and France.

Polish production will is expected to rise by around 5 percent , but this is likely to tail off towards the end of the year.