Highlights
- A good grain harvest in the EU (and worldwide) relieves market tightness in the marketing year 2013/14
Marketing year 2012/13 in the EU saw low grain availability especially for feed, high prices and low stocks. Cereal, oilseed and protein crop harvests in 2013 have so far turned out considerably higher than last year and relieve the market tightness at the start of the marketing year 2013/14. All major individual crops see an increase in harvest from last year, up by more than 8% on average.
- More poultry meat production partially offsets the further decline in other meats
The decline in the 2013 production of beef and pig meat is partly compensated by an increase in poultry meat production. A different picture is expected in 2014 with beef and pig meat production recovering due to the improvement in producer margins and the increase in availability of dairy calves. In addition, the adaptation to the new welfare rules in the pig sector should be completed and should imply a halt in the decline in sow numbers and an increase in pig slaughterings.
- Higher milk prices stimulate a milk production recovery in the second half of 2013
The relatively high milk prices, induced by strong global demand and tight world supplies, and an improvement of the weather conditions have triggered a significant rebound in milk production since the summer. This higher availability in milk should allow grasping export opportunities on the world market especially for cheese. Global demand has remained strong and kept prices for dairy commodities near record high levels during summer.
Source: ec.europa.eu, ag-press.eu
