'Significant drop in pig inseminations in the last quarter'

The number of doses of terminal boar semen sold was 'quite stable' over the first three quarters last year, according to suppliers. However, from the end of the third, but especially the fourth quarter, the number of doses sold fell sharply. This includes percentages of between 5% and 7% compared to a year earlier. The immediate cause seems to be the poor pricing for piglets and the lack of market prospects in the short term.

Number of doses sold may be further back
Opinions are divided on whether the number of inseminations in the first quarter will show an even greater contraction. On the one hand, it is expected that the companies that wanted to stop had already stopped at the end of last year. On the other hand, however, there are worrying voices about the current financial situation on propagation farms. There are already payment arrears left and right. It cannot be ruled out that if market improvement is not forthcoming for a longer period of time, more sow farms will be emptied, whether forced or not.

In addition to the fact that companies have stopped, the stayers also regularly run with a lower occupancy rate due to the bad economic situation, according to a spokesperson for one of the companies. 

POV also sees companies drop out
The POV can confirm the picture outlined by director Theo Duteweerd, who in his role also deals with market and production developments. "We are indeed seeing that the poor market situation is now leading to stoppers. Because this contraction started in quarter four, we do not expect a significantly smaller supply in the Netherlands until quarter three of 2022." Duteweerd warns against being too optimistic about the impact of a shrinking supply: "That is no guarantee for better prices, we are dealing with a large European supply of pork and a weakened export position. Hopefully the reopening of the economy in the coming months can give the meat market a give impulse".