Pork cost of production - July 2022

With continued pressure on energy and fuel prices this has a negative, but small, impact on the cost of pork production. As feed is always the key driver, any feed price movement has the biggest impact. Historically, feed costs have been responsible for around 60-65% of the farmgate cost of producing a kg of pork meat. Since December 2021, feed costs have risen to 71-74% of the full economic cost of production.

As the feed ingredient market has eased slightly, the cost of production is currently estimated to be 231p/kg deadweight in July. With current carcase weights of around 88kgs this would indicate a full economic cost of producing a pig at £203 per slaughter pig.

With SPP prices at 193.09p/kg and APP at 195.47p/kg, this equates to farmers losing between £31 and £33 per slaughter pig.

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