UK: Pig production costs in UK and EU ‘are narrowing’ says report

Pig production costs are narrowing, says report

Pig production costs are narrowing, says report - Credit: IAN BURT

THERE is still a gap between the cost of the pig production in the UK and the European Union (EU) but it is narrowing, according to a report.

The latest Cost of Production Report for BPEX, from AHDB Market Intelligence, shows our costs rose by 7% while the European average was 12%.

Part of the reason for the narrowing of the gap was that feed prices started to rise in the UK earlier than elsewhere.But despite the higher relative cost of production in the UK, most aspects of physical performance improved between 2010 and 2011, says the pig levy payers’ group.

The InterPIG report, which covers data from 2011, looks at costs in selected European countries, Canada, Brazil and USA. Head of Knowledge Transfer Andrew Knowles said: “We are improving year-on-year, but so is the rest of Europe and we need to close the gap faster.”

There is some good news for the industry but still challenges, he admitted. “The overall average number of pigs weaned per sow per year in the European InterPIG countries showed a 2% increase in 2011, while there was a 3% increase in pigs weaned per sow in Great Britain,” he said.