Forecasts for Danish live pig exports in the next year have to be adjusted downwards after a sudden decline in the latest quarter.
These figures are released by the Danish Meat Association (DMA).
DMA market analyst Karsten Flemin said the 14% fall was a lot bigger than predicted. A seasonal drop in exports in the third quarter of the year is to be expected, but this year it has been unusually strong.
“The fall in the third quarter is unusually larger than we had expected. It is so marked that it’s going to make us adjust our forecasts downwards for exports in 2007 as well as for the rest of 2006,” he said.
After several years of explosive growth, 1.12 million pigs were exported in the second quarter and 961,000 in the latest period. The year-on-year decline is almost 50%.
Market analysts say exports of live pigs, mostly to Germany where prices are higher, have struggled in the face of increased transportation costs following revelations that hauliers were making longer journeys without allowing animals to graze outside, as EU law dictates. Asian exports also suffered in the latest quarter.
Earlier this year the DMA said that live pig exports were expected to almost double compared to 2004. In 2006, 3.7 million weaners and 860,000 pigs and sows were expected to be exported, with Germany and Great Britain as the main markets.
â€¢ Danish Meat Association (DMA)