Pork prices have fallen by 30%: why meat hasn't become cheaper in stores
The Ukrainian meat market has recorded a 30% drop in procurement prices for live weight of pigs — from 100 to 70 hryvnias. Producers are suffering losses, while prices in stores remain consistently high. The primary reason for this collapse is outbreaks of African swine fever, which have impacted the market.
The cost of a kilogram of live weight pigs has decreased to 70 hryvnias, while the cost price of meat is about 50 hryvnias per kilogram. However, prices in stores start from 200 hryvnias, causing concern among consumers. At the markets:
- the hind part of the meat is offered at a price of 210-220 hryvnias,
- the neck — up to 334 hryvnias,
- the shoulder — about 200 hryvnias.
Prices for lard also remain high: ordinary bacon costs 250-300 hryvnias, while 'general's' lard — 600 hryvnias.
Causes of instability in the market
Outbreaks of African swine fever have been recorded in five western regions of Ukraine, as well as in Kyiv and Chernihiv regions. This has led to instability in the meat market. In Polish exchanges, the live weight of pigs costs about 53.5 hryvnias per kilogram, but Ukrainian producers, in the wake of the outbreak, cannot lower prices.
The cost price of meat at the pig complex is 140 hryvnias per kilogram, and the necessity for own generation adds another 10% to the cost price. In connection with the upcoming holidays, additional expenses are anticipated, as after December 20, pre-holiday excitement will begin, which could further affect pricing policy.
Thus, despite the drop in procurement prices for pigs, consumers will not yet feel a decrease in prices for meat products in stores.
This situation highlights the complexity of the meat market in Ukraine, where producers face challenges that go beyond ordinary economic fluctuations.
Outbreaks of African swine fever not only affect prices but may also threaten food security in the region. Consumers expecting lower prices may face even higher costs in the near future due to seasonal demand for meat during the holidays. These factors indicate the need for careful monitoring of the market and possible actions by the state to stabilize the situation.