News Corona
Germany aims to store pork in price crisis
In order to pull the pig market out of the doldrums, Germany wants to open a Private Storage Scheme for pork in January. That is the outcome of the consultation between agriculture minister Julia Klöckner and the agriculture ministers of the various federal states in Germany.
The meeting took place on Friday 27 November as a result of the extreme fall in pig and piglet prices in Germany, which is also the case in the Netherlands and other European countries. The market is under pressure due to the outbreak of African swine fever and the corona measures.
With such a storage measure, market parties (such as slaughterhouses) receive a compensation to temporarily store pork in order to relieve the market. It makes little sense to open the storage scheme for pork in December, according to Klöckner. In that case, according to her, the market will benefit from the traditional Christmas demand, although this is not noticeable this year due to the lockdowns. In January, the storage scheme can provide the desired support, when meat sales are generally in decline.
From January
The pig sector is not eager to open the storage scheme, as this is not a direct aid to pig farmers. The German pig farmers' representative (ISN) lobbied prior to the consultation for direct payments to pig farmers, as also received by the catering entrepreneurs in Germany. Another weighty argument in the sector is that stored pork stocks may hinder market recovery at a later date.
Wouter Job
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