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Livestock farming shows mixed results

24/09/2018

In the first months of 2018, margins in dairy farming were under pressure from a declining milk price. From June onwards, however, the milk price increased. In August, the margins for a standardised dairy farm amounted to 15,700 euros, which matches the long-term average for this month. The summer drought led to increased feed costs. Financial results for pig farming are mixed: in August, sow farmers had to cope with 40% lower yields and 7% higher feed costs compared with last year. This resulted in decreased margins of 3,800 per holding, which is barely sufficient to cover allocated costs. Lower piglet prices resulted in margins for fattening pig farmers that were 800 euros higher than last year. Poultry farming also shows mixed results. After a favourable first quarter, margins on layer hen farms dropped considerably and were 24,000 euros lower than last year. This is mainly due to the egg price, which in August was halved compared to the beginning of this year after the recovery of production since the Fipronil crisis and the seasonal decrease in summer. Although margins on broiler farms were 1,400 euros higher than in the same month last year, they remained below the long-term average for August.

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