Significant drop in UK pig slaughters

The British market agency AHDB reports this in a forecast of the British pig market. The number of pig slaughters in the UK was one percent higher in the first half of this year because the backlog from the corona pandemic still had to be cleared. This has now happened, AHDB notes, and they are seeing a decline in the British sow herd. The market agency therefore expects the number of pig slaughters to decrease by 15% in the second half of this year. According to the forecast, the number of slaughters for the whole of 2022 will decrease by 7% compared to 2021 to more than 10,35 million heads. 

Pig farm returns remain under pressure
The expectation for 2023 is that the number of pigs slaughtered will decrease further to 9,5 million animals, a decrease of 8%. AHDB also points to the shrinking of the British sow herd. This has fallen by more than 10% within a year to 350.000 sows in June this year. This is due to the low returns and logistical problems that sow farms had to contend with as a result of the corona pandemic. According to the market agency, the British sow herd will remain at this low level this year. Only next year, albeit with many snags, does the agency expect a slight recovery of the sow herd.

AHDB finds it difficult to provide a price forecast for the pig market for the coming period. According to market principles, a decrease in the British pig herd and therefore a lower supply of pork should actually mean a higher pig price. Yet that is not certain. For example, the demand for pork in the United Kingdom is expected to decrease slightly, partly due to an increase in the cost of living for consumers. Although UK pig prices have risen, they have not reached levels that cover the production costs of pig farms. Among other things, the feed costs for pig farmers are too high for this, as a result of the persistently high prices on the raw materials markets.