21/10/2024
The analytical department of the Ukrainian Pig Producers Association reports on the difficult economic situation for the Ukrainian industrial pig industry. This year, both pork producers, meat processing representatives and consumers note that pork prices are lower than a year earlier, Agravery.com writes. “Thus, according to the results of three quarters of this year, the purchase price of slaughter pigs is almost a quarter lower than last year - 58.4 UAH/kg against 76.8 UAH/kg, respectively. However, lower purchase prices are only part of the “economic ticks” in which industrial pig farms have found themselves, because at the same time we are recording an increase in the cost of pork production,” analysts of the Pig Producers of Ukraine Association comment. “While in the first half of the year the average cost per kilogram of live weight pork ranged from 41-45 UAH/kg, according to preliminary estimates, in the third quarter the range increased to 48.5-52.7 UAH/kg. Therefore, if in January-June most enterprises covered the costs incurred in production, in the second half of the year even the most efficient ones are forced to work in the red,” the USBA explains.
Operators do not have positive expectations for the end of the year, because even with a gradual recovery in pork prices, the cost of feed will continue to rise. “The average prices of the main feed ingredients in the third quarter were 30%-50% higher than in January-March, and at the end of the year they usually continue to rise, which is confirmed by this year's price dynamics in the market of grains, oilseeds and their products.
In addition to rising feed costs (+20-30% on average in the first half of the year), other material costs are also rising, and companies are raising wages to retain staff. Such economic challenges traditionally trigger the “dropout” of industry operators, which in the long run negatively affects pork production in the country,” the industry association states.
The key to successful production, among other factors, is feeding. Proper feed ration and constant access to water guarantee the cultivation of healthy pigs. In particular, nipple drinkers will be useful for producers to drink clean water, and if necessary, it is possible to dose medicines or vitamins.
21/10/2024