Overall meat production in the EU is expected to decrease by 1.1 per cent in 2012 and remain stable with a further small decrease of 0.1 per cent in 2013, while a decrease in total EU meat consumption is foreseen of 0.7 per cent in 2012 and 0.4 per cent in 2013, according to the European Commission's Short Term Outlook for February 2012.
The EU meat sector in 2011 was supported by a relatively strong level of demand on the world market characterised by the quite favourable global economic situation. Global import demand increased, partly as a consequence of animal disease related supply constraints in the Far-East.
Overall supply of meat was further constrained by high feed costs despite the reasonably good harvest in the EU, US, Canada and Russia. As a consequence world prices increased which contributed to the continued good performance of EU exports.
The outlook is characterised by a further contraction in total EU meat consumption, which is expected to decrease by 0.7 per cent in 2012 and 0.4 per cent in 2013. Only poultry meat has proven to be resilient, with consumption estimated to have grown slightly in 2011 and expected to increase further over the outlook period given its healthy image and relative cheapness.
Overall meat production in the EU should decrease slightly (by 1.1 per cent) in 2012, and remain stable in 2013.