Producers are stranded says professional

An intense part of iron arm currently taking place among professionals of the pork. At stake, the prices of meat and the distribution of margins in the sector. In early summer, pork courses traditionally tend to rise, particularly because consumption is supported by the barbecues and tourism in Espagne, great country purchaser. Out of several difficult years by soaring feed prices, French farmers hoped well take advantage of the increase expected to finally reconstruct their cash.

No luck: buyers of meat, they perform for fifteen days a terrible pressure that these prices fall, on the contrary. Industrial slaughter and charcuterie, and large surfaces thus hope to consolidate their own margins by providing lower cost without reducing really chops and sausages prices at retail. They have earned when the part.

It was at Plérin in Brittany, that everything is played. Pork prices are determined twice a week and make reference to the France. On 30 July, the slaughterers are a first decline. During the next session, retry. But producer, this time agreed to resist and refuse to sell a portion of their pigs. The price remains unchanged.

"Coordinated strategy".

This is only part remission. Last Thursday, then Monday, the slaughterers were able to impose further declines. "In a well co-ordinated strategy, the three principal groups of private slaughterhouses have yet wagered in the lowest of the day to grab quelques mil EUR per kilo", reports Jean-Pierre Joly, the Director of Plérin market. And this time, the farmers could not resist. "Producers are stranded, says professional." They cannot store their animals which, otherwise, enlarge and lose value, while costing much in food. At one point, it must sell.

Result: since early July, courses decreased by 11. A 1.21 euro per kilo, they fell below their level of the previous three years at such a time and accuse a drop of 17 over last year. "This stall, without equivalent in neighbouring countries is all the more striking that the European and global pork production contracted, within Jean-Pierre Joly." "All things being equal, the courts should rather have increased by 20 or 25 ".

The explanation France, consumption is about stable. Pork is a meat relatively cheap and does therefore not suffer too many problems of purchasing power. However, "we have huge losses of export markets," said a leader of the co-operative Group Cooperl. Between the global recession and monétaires devaluations, export to China, the Russia, the Poland, etc. is much harder than before. This is the argument put forward by the industry to justify the price drops they seek.

Short-sighted policy

"But it is also a pretext, accuses Jean-Michel greenhouses, President of the National Federation of hog farmers." I am convinced that the fallers have large restructuring fund after signed reconciliations latter time, and that they make us pay the addition. "Major movements are in fact intervened recently: Bigard has resumed Charal and Socopa, Gad and Cecab allied themselves. "It is clear: these transformers are now fairly concentrated to weigh on prices and they need to improve their accounts", analysis of Plérin expert.

A short-sighted policy, estiment farmers: "decreases in course, dramatic for us, are unnecessary for the fallers, because large distribution immediately retrieves them by lowering its purchase price," said Jean-Michel greenhouses. Last year, Eric Besson report commissioned by the Minister of Agriculture had already pointed to the particularly high margin of distributors to the pork RADIUS.