One third of industrial pig farms expect the pig industry to recover lost capacity in the next six months. This opinion was expressed by 44 out of 135 surveyed pig farms, which at the beginning of 2024 collectively held about 80% of the number of industrial sows and represented more than 65% of the industrial pork supply last year. More than half of the sample believes that the market situation for industrial pig farming operators will be favourable in the second and third quarters of this year.
Despite such positive assessments, the majority of respondents (over 62%) are in no hurry to announce ambitious plans to increase production capacity, but rather choose to operate as usual.
«About a quarter of the participants in the pig farmers’ sentiment monitoring declare their readiness to increase the breeding and/or total number of livestock, including the restoration of the livestock lost due to economic and epizootic risks. In addition, at least one of the six pig farms is committed to improving its own production and economic performance through the introduction of new technological solutions and more modern equipment, the development of related production and/or vertical integration. According to indicative estimates, the implementation of the announced plans will restore the production capacity of the domestic pig industry by 7-10%, while actual losses range from 15% to more than 30%. However, the cautiousness of pork market operators after the numerous challenges of the past year is understandable, as the overall situation in the country, industry risks and lack of staff make any investment carefully considered. At the same time, such moderation, on the contrary, can lay the groundwork for a more sustainable rehabilitation of the industry,» the analytical department of the Association of Ukrainian Pig Breeders comments.
The Association of Ukrainian Pig Breeders is a non-profit, voluntary organisation founded by domestic pork producers. The main goals of the association are to represent and protect the rights and interests of the association's farms, promote the development and implementation of new technologies for efficient pork production, expand sales markets, and protect the domestic market.