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Defra forecast shows 21% decline in pig business incomes

PW ReportersBy PW ReportersFebruary 2, 20151 Min Read
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Average pig farm business incomes will be lower in 2014/15 than the year before but will still be higher than in the previous five years, according to the latest forecasts from Defra.

Commenting on the Defra forecasts, BPEX pointed out that, at £51,500, the provisional income estimate for the current year is a decline of 21% on the previous 12 months, representing the largest proportional fall for any type of farm. 

Even so, with most other farm sectors also projected to have recorded declining or static incomes this year, the BPEX conclusion is that the overall position of pig farms has stayed “relatively strong”.

“Specialist pig farm incomes have been hit by falling pig prices, with an average drop of 7%, partly offset by improved productivity and heavier weights,” said BPEX. “A decline in stock values, given lower weaner and cull sow prices, has also contributed to the overall reduction in farm business incomes. 

“However, input costs are also projected to be lower, particularly for feed which is the main cost for pig farms. This has limited the fall in farm business income and helped ensure that the overall position of pig farms has stayed relatively strong.”

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Previous ArticlePeter Crichton’s commentary for January 30, 2015
Next Article EU cull sow prices fell again in January
PW Reporters

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