News Crisis pig farming
Tönnies fears idleness and demands corona support
Tönnies is very concerned about the future of pig farming in Germany due to the persistently low prices. According to Tönnies, an outflow of pig farmers must be prevented. The meat company alludes to government support before it's too late.
Pig farming in Germany is going through tough times. There is talk of the worst crisis in 30 years. According to Clemens Tönnies, director of the meat group of the same name, the entire production chain is affected. His meat concern is also making losses, he assures. "There is a serious pork sales crisis going on."
In a statement, Tönnies says that the meat sales problems are not structural, but a result of the corona pandemic. Because there are no big parties, consumption is only temporarily under pressure. That's why Tönnies calls on German politics during the crisis meeting that takes place today (Wednesday 15 September) on a short-term corona support package to get through this period and companies can avert bankruptcy.
The fact that Tönnies is shifting the problems to corona is a bit simplistic, by the way. In addition to corona, Germany has export bans to various Asian countries as a result of African swine fever. However, Tönnies does not mention this in his speech.
No buyback programs
Tönnies does not want to know anything about buy-back programs for German pig farmers, as opted for by some political parties and NGOs. "Entrepreneurs who now demand scrapping premiums are moving their companies to countries such as Poland, Denmark and Spain. This erodes the German economy and our sustainable meat production," said the meat baron, as he is also called. Tönnies accounts for approximately 30% of pig slaughter in Germany. A decline in the German pig population threatens the stocking rate in its slaughterhouses.
5-D strategy is positive
For the medium term, Tönnies alludes to increased subsidies to help pig farmers make their businesses more sustainable, as prescribed by the Borchert Committee. Tönnies also identifies leads. Among other things, the German food sector is increasingly embracing domestic pork through the so-called 5-D strategy, in which the entire production process takes place in Germany. In the meantime, several large supermarkets have indicated that they will ban foreign pork.
Wouter Job
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