Hog prices are falling, but the market is not reviving: producers sound the alarm

In the second half of November, purchase prices for slaughter pigs continued to fall. According to the weekly monitoring data from the Association “Pig Farmers of Ukraine,” trading last week ended with a reduction in quotes by 2.5–4.5 UAH/kg. As a result, prices mostly remained within 56–58 UAH/kg in all regions, and the average market mark was 57.25 UAH/kg, which is 5% lower than the level of the previous week.

“The main reason for the further reduction in purchase prices, according to meat processing representatives, is the low activity in pork sales across all channels amid sufficient supply of live animals,” the ASU noted.

Suppliers of chilled half-carcasses note that the price reduction did not stimulate sales either in retail chains or at meat processing plants.

Assessments of the situation vary: some operators work in the usual mode, while others fear a decrease in trade activity due to power outages. At the same time, there are expectations of a recovery in quotes, as a further drop in prices does not stimulate sales, devalues product inventories held by processors, and worsens the situation of pork producers, which may have negative consequences for the industry in the long run.

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