We would like to take this opportunity to provide an update on the raw material pork market, we are expecting to see the continuation of significant raw material inflation within the marketplace, Pig prices have increased over the last few weeks across Europe, as pig herd numbers are low.
Denmark, Holland and Germany are Killing less, Germany in particular who can slaughter up to 1 million pigs per week are down by at least 100,000 pigs per week, the UK Pig herd is also in short supply.
There is an outbreak of ASF (African Swine Flu) in China, there demand for pork has increased and Denmark in particular will take advantage as they are actively supplying Asia and Australia who are paying much high prices than in the EU.
This is now having a significant impact on the food manufacturing industry in particular BSD Bacon Backs for Curing and Slicing have increased again by another 10p/lb this week and the price of pork is on the rise, goods like Belgian pate and pork-based charcuterie are expected to rise add to this is the uncertainty and cost implications of Brexit, it makes for a very challenging market.
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