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Netherlands – Lower prices for porkers and higher prices for piglets in 2009

The costs of the intensive livestock farming sector decreased sharply in 2009 due to lower feed prices. After the 2008 harvest the decrease in the grain prices initiated a trend towards lower feed prices that has continued in 2009. The movements in operating income once again varied greatly by type of animal in 2009, depending on the trend in the sale price per animal.
22 January 2010
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The costs of the intensive livestock farming sector decreased sharply in 2009 due to lower feed prices. After the 2008 harvest the decrease in the grain prices initiated a trend towards lower feed prices that has continued in 2009. The movements in operating income once again varied greatly by type of animal in 2009, depending on the trend in the sale price per animal.

The pig farming sector recorded lower prices for porkers and higher prices for piglets in 2009 as compared with 2008. The lower feed prices resulted in a significantly higher cash balance per sow, while the cash balance per porker was substantially lower as compared with 2008. As a result, the movement in income recorded in 2009 as compared with 2008 varies greatly with type of pig farm, with a significant improvement for sow farms, a substantial deterioration for porker farms and a slight fall for closed farms. The average pig farm’s operating income amounted to 10,000 euros per unpaid ALU in 2009, a low level that will compel many pig farmers to draw down on their equity for the third year in succession.

http://www.lei.dlo.nl/publicaties/PDF/2009/2009-088_summary.pdf

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