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Inside Pigs

'German slaughterhouse loses 50 to 70 euros per pig'

9 November 2021 - Stef Wissink - 4 comments

The German Pig Farmers' Union (ISN) had its annual members evening last Thursday (November 4). A number of representatives from medium-sized slaughterhouses spoke this evening and explained how bad the current situation on the German pig market is according to them.

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Gerald Otto from the German slaughterhouse Goldschmaus Group and Bernhard Simon from SIMON Fleisch shared their opinions on the current problems for the pig sector. The central question was whether the sales problem is temporary or whether there is a deep crisis. The problems surrounding labor shortages and the effects of the Chinese import ban on German pork were pointed out.

Tight labor availability
Bernhard Simon stated that the very tight labor market for the company is currently the biggest problem. "No one will come anymore, it's a catastrophe." In addition to corona, the mandatory employment contracts for the slaughter sector since this year have been a major problem. The permanent contracts offer more social security, but according to Simon, foreign employees are not looking for that. They prefer the highest possible net salary, which is why employment agencies now prefer to employ people in sectors where contracts are not mandatory: wine growing, transport or Amazon locations.

Meat market situation also 'catastrophic'
Gerald Otto of the Goldschmaus Group indicates that the impact of lost exports to China is enormous. By-products such as tails and legs can no longer be sold and must be sent for destruction by many companies. This is extremely disadvantageous for the square value and Otto also speaks of a catastrophe. According to him, slaughterhouses in Germany are currently losing €50 to €70 per pig and new markets are urgently needed for these parts.

A representative of the Rewe supermarket chain from Germany also mentions the worrying development of German meat consumption. According to the company, sales of meat for barbecue have been very poor this season. He says 60% fewer barbecue items were sold this year than in 2020.

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