May 6, 2024

 

World's pork production rose 1.4% last year

 

 

Global pork production continued to grow in 2023 while trade fell sharply, according to a markert overview by the Food and Agriculture Organization (FAO) of the United Nations (FAO).

 

Global pork production reached 124.5 million tonnes in 2023, up 1.4% from 2022. This was principally driven by Asia's continued expansion of production, which was only partially offset by Europe's second consecutive year of output contraction.

 

Pork production has also increased in the Americas and Oceania. Meanwhile, production remained largely stable in Africa.

 

Pork production in China expanded for the third consecutive year by 4.5% in 2023, or over 2.5 million tonnes, to 58.8 million tonnes, accounting for 47% of the world's total pork output.

 

Production also increased in Vietnam, the United States and Brazil.

 

In Vietnam, increased efficiency, resulting from industry investments and consolidation led to swine population growth, driving output expansion.

 

In the US, output rebounded following declines for two consecutive years, mainly on rising slaughter.

 

Meanwhile, in Brazil, reduced input costs and higher availability of feed, especially corn, lifted pork output by 2%. However, this reflects a significant slowdown in production expansion compared to growth performance during the last several years.

 

Pig output in the United Kingdom declined by nearly 11% year-on-year, while in Canada, high input costs and labor shortages, coupled with lower demand, led to the closure of some plants, thus lowering pork production.

 

Global pork trade fell for the third consecutive year last year by 7.9% to 9.8 million tonnes, reflecting declines in imports by all regions except for Central America and the Caribbean.

 

The most significant import contractions were reported in China, the Philippines, the US and Japan, broadly underpinned by higher supplies from national sources, including inventories.

 

By contrast, pork imports rose in Mexico, Canada and Chile (among others) — due to increasing, local demand — with those of Malaysia and the Dominican Republic surging due to ASF-related supply challenges.

 

The drop in global demand and lower national production led to a one-fourth drop in pork exports from the European Union. Pork exports from Canada and the United Kingdom also fell due to lower export availabilities.

 

Despite a drop in global demand for pork, several countries, notably the US, Brazil and Russia, reported higher shipments. Exports by the US rebounded after two consecutive years of declines, mainly facilitated by trading agreements with its neighboring countries, Mexico, Canada and the Dominican Republic.

 

As for Brazil, despite a drop in volumes destined for China, pork exports increased due to rising shipments to the Philippines, Chile, Singapore, Uruguay, Vietnam and Japan.

 

Recently gained market access to Canada and Mexico also helped Brazil to sustain export expansion, despite Mexico suspending imports from Brazil in November 2023 amidst farmers' protests.

 

Russia also exported more, benefitting from expanding exportable supplies and competitive prices, coupled with a regionalisation agreement signed with Vietnam that allowed exports to continue from parts of the Russia free from the African swine fever.

- FAO