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Gross margins in livestock farming show large differences

13/01/2022

Gross margins in dairy farming in November 2021 amounted to 17,900 euros per holding. This is 38% higher than in the same month in 2020 and 7% above the long-term average for this month. The results are mainly due to the milk price, which reached a level of 41.1 euros per 100 kg in November. Opposed to higher milk and cattle yields were higher costs of fertilisers and feed concentrates. In pig farming, the higher feed costs in combination with lower yields led to negative results. The rise in selling prices came to a standstill in June, especially due to the fall in exports to China, an important destination country. In November the gross margins on fattening pig farms were 14,000 euros lower than in the same month in 2020, while the margins on sow farms in November were even 25,000 euros negative. The results for poultry farming were less negative. Due to the higher price of free-range eggs, the layer hen sector saw the gross margins increase to 14,300 euros, which is nevertheless lower by half of the long-term monthly average. The same applies to the margins for broiler chickens, which in November increased to 12,600 euros per holding. After the summer, the contract price for broilers recovered from the drop in prices due to corona and was 21% higher in November over the same month last year.

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