You have probably noticed it: until now on the shelves, the prices of ham and charcuterie have certainly increased, but have remained reasonable. However, as indicated BFM TV, the high inflation affecting the country (6.1% in July according to INSEE), has a direct impact on pork. For ten months, the increase in the kilo of pork has been constantly rising and has already broken records as in March by exceeding the absolute record dating from 2001. According to our colleagues on Monday, the price of pork has even crossed the bar of two euros per kilo.
In eight months, the price of pork has exploded by 60% due to inflation. And if the demand is still as important, the offer is no longer there. If production costs are added, pork comes close to the increases observed by INSEE on other meats such as poultry (14.6%), lamb (10.5%) or even beef and veal (10.2%). Asked by Agricultural France, the director of the Breton pork market explains why the supply is lower. For him, this is due to cessation of activities that date from before the war in Ukraine.
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Fear of cessation of activities
According to Pascal Le Duot, “the current decline” is even “a significant fact on a global scale”. The Inaporc interprofession is alarmed at the situation at the national level where 10% of farms could disappear in the months to come. A “proportion which could rise to 30%”, according to Inaporc. Farmers are indeed faced with rising production costs, starting with animal feed, +25% according to our colleagues. The problem for breeders is that they are unable to pass on these increases in selling prices to major distributors, because charcuterie remains a loss leader.
According to professionals in the sector, breeders have sold at a loss until today since the cost of production is estimated at two euros, a sum which has just been reached. Faced with the cessation of activities, France could be forced to import pork. If the Ministry of Agriculture released 270 million euros at the start of the year to support the sector, this may not be enough because the assessed losses are doubled by Inaporc. A call has been made to large retailers to make an effort on prices and for distributors to cut their margins, explains BFMTV. Answer in the next few weeks.
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