Decline in global output expected to result in stabilising of pork prices

Pork prices are expected to stabilise during 2013 due to a projected decline in global output, but input costs are also rising, according to the latest market analysis from Rabobank Food and Agri Research.

Rabobank’s Q3 report also projects that feed costs will remain elevated until at least mid-2013. And, while it also projects that a recent rise in sow culling and a series of other factors may create downward pressure on price in the next few months, this is likely to be followed by markedly stronger prices in the last quarter of this year.

The analysts expect greater on-farm production efficiencies will be needed to achieve profitability in the sector.