Increases in Pork Prices: Causes and Consequences for the Industry

Over the past year, the pork sector has seen a significant increase in prices, both at the source market and at the consumer sales point. This rise, the most significant in the last two decades, is attributed to several factors ranging from increased international demand, especially from China, to rises in production costs and the logistical and regulatory challenges faced by producers.

Particularly in the United States, there has been a sustained increase in pork prices, showing a trend that seems to be extending to other major markets. The growing demand, largely driven by exports to countries with an increasing appetite for pork, is compounded by production challenges such as regulatory pressure in Europe, high input costs, and the impact of global events like the war in Ukraine.

The situation in the European Union also reflects these tensions, with production seeing significant declines in key countries, exacerbating the pressure on prices in a context of dwindling supply. Producers face a complex landscape where increases in costs cannot always be passed on to the final consumer, jeopardizing the long-term sustainability of the sector.