March 10, 2016

Global pig prices fell steadily in 2015, a great contrast to an exceptionally high year for prices in 2014.

Data compiled by the AHDB Pork, a division of the UK's Agriculture and Horticulture Development Board, showed that the average export pork price in 2015 was $2.38 per kilogramme, based on the prices of the four major exporters (the EU, US, Canada and Brazil). This is the lowest level for over six years and over a dollar less than the price peak recorded in June 2014.

AHDB Pork said several factors drove down value in the global pork market including the supply glut following the Russian bans in 2014. The EU price is now at a 12-year low, AHDB Pork said, adding that the increased production levels in the face of subdued consumer demand have further negatively impacted prices.

It was noted that US prices fell in 2015, as supplies continued to increase. The strong dollar also impacted the US price, forcing it down in an effort to compete on the global stage.

In Brazil, the value of pork was significantly affected by the weakening of the real against the dollar, attributed to the recessive Brazilian economy.