Pig Prices The meat industry faces heavy burdens
China is by far the largest producer of pork in the world. The consequences of African swine fever (ASF) in particular have forced many pig farmers in China to give up production. According to the government in Beijing, the pig population in February 2019 was 16.6 % lower than in the previous year. The total number of pigs in China was around 400 mill. This massive decline leads to a global bottleneck. Experts assume that Chinese pig meat production will continue to decline this year and next year by 100 to 150 mill. animals and that the import demand will therefore increase significantly.
The German meat industry, which is characterised by medium-sized family businesses, is the largest branch of the food industry with a turnover of around € 17 bn. According to the assessment of the Federal Association of the German Meat Industry, the companies' worries about the high burdens are justified, as the market situation will not change in the coming months and structural changes within the industry can therefore occur again.