The pork prices to decline in world markets
In Brazil, pork fell 4.4% due to an increase in the supply of live pigs in the country's market. Over the month, pork prices in North America and China have noticeably risen in price, while prices are falling in Europe and Brazil. For example, the cost of pork in Germany fell by 9.3% over the month.
A similar situation is happening in the German livestock market, where for more than a month and a half there has been a stagnation in the pig trade.
The cost of live pigs on the world market has strengthened by an average of 1.5% (1.56 USD/kg). The growth in the live pig market in Chile is particularly noticeable. In China, pork prices have also continued to slowly pick up as the PRC government has put in place measures to control excessive rises and falls in pig prices. And in Brazil, pigs continue to become cheaper (-4.5% for the week and -13.7% for the month), which is associated with an increase in the volume of slaughter.
Prices continue to decline in the Central region of Russia. Compared to prices a month ago, live pigs became cheaper by 14.0%, and half carcasses - by 18.5%. This is due to an increase in the volume of pork in the domestic market, as well as a slight decrease in the solvency of the population.
Manufacturers have to reduce wholesale prices, which negatively affects the economy of enterprises, which are already experiencing difficulties due to increased production costs. On an annualized basis, domestic live pigs have fallen in price by 15%, and pork half carcasses have decreased in price by 12%.