Pigmeat export figures soared to their highest levels during the initial half of the year
In the first half of 2020, the German pork industry faced a significant challenge due to the Chinese pork import ban, which was imposed to control African Swine Fever (ASF) and manage trade tensions.
According to the Federal Statistical Office (Destatis), China recently imposed an import ban on pork from Germany due to the outbreak of ASF in the country. As a result, China, one of the world's largest pork consumers and importers, was no longer a major trading partner for German pork exports, accounting for 26.8% of total exports in the first half of the year.
Prior to the ban, China was a crucial market for German pork producers, with over 233,300 tonnes of pork being exported to China in the first half of 2019, representing a significant share of the total exports. However, in the same period of 2020, the amount exported to China was less than half of that, with only 107,400 tonnes being shipped.
The decreasing number of pig operations in Germany has also been a notable trend, with a significant drop of 39% to 20,400 operations. This decrease in operations, coupled with the declining number of fattening pigs, has led to an increase in the average number of pigs per operation. Whereas the average was 795 pigs per operation in the past, it has now risen to 1,248.
Despite these challenges, Germany continued to export pork to other destinations. In the first half of 2020, Italy was still the main destination for pork exports, with a share of 18.0%, followed by the Netherlands with 14.8%, and Poland with 10.7%. The total volume of pork exports in the first half of the year was 870,700 tonnes, generating a value of 2.4 billion euros.
In terms of production, Germany produced a total of 2.6 million tonnes of pork in the first half of 2020, a slight decrease of 1.0% compared to the same period last year. The number of fattening pigs in Germany has also decreased significantly, with 11.1 million fattening pigs as of May 3, 2020, a decrease of 5.2% or 614,700 compared to six months earlier.
As the industry adjusts to the new market conditions, German pork producers are seeking alternative markets or facing economic losses. The decline in the number of pigs and operations has been a long-term trend, and the impact of the Chinese pork import ban has further accelerated this trend.
The decline in exports to China, a significant player in global pork finance and consumption, has forced German pork producers to explore other industry markets. Despite the challenges, Italy, Netherlands, and Poland remain key destinations for German pork exports in the first half of 2020.
In the current market conditions, German pork producers are grappling with economic losses due to the shrinking number of operations and fattening pigs, a trend exacerbated by the Chinese pork import ban.
