Various trends in gross margins in livestock farming in January 2025: Sharp declines and stable margins |
06/03/2025 |
The monthly gross margins in livestock farming showed significant variations in January 2025, depending on the sector. While some sectors, such as dairy farming and sow farming, maintained relatively stable margins, others, like fattening pig farms, experienced a sharp decline. The main factors behind these developments were fluctuations in revenue prices, feed and animal costs, and market demand. Despite these variations, most sectors continue to perform above their long-term averages.
Dairy cattle
In January 2025, the monthly gross margin for a standard dairy farm reached 35,800 euros per farm. This was more than 50% higher than the same month a year earlier and 66% above the long-term average for January. Although the milk price declined compared to December, higher calf and slaughter cow prices compensated for this decrease. Allocated costs remained virtually unchanged. The rolling annual margin increased to 36% above the long-term average .
Laying hens
The monthly gross margin for laying hen farms declined to 57,000 euros per farm in January 2025, compared to 72,000 euros in November 2024. The main reason was a 10% drop in egg prices, while feed prices slightly increased. Despite this decline, the rolling annual margin remained well above the long-term average at 596,000 euros per year .
Broiler chickens
The monthly gross margin for broiler farms stood at nearly 35,000 euros per farm in January 2025, a decline of almost 10% compared to the last quarter of 2024. Broiler prices slightly decreased to 1.20 euros per kilogram, while feed prices continued to rise to nearly 40 euros per 100 kilograms. However, demand for poultry meat remained high, keeping the rolling annual margin at 385,000 euros, well above the long-term average .
Fattening pigs
The monthly gross margin for fattening pig farms dropped sharply to 6,100 euros per farm in January 2025, compared to an average of 35,000 euros per month in the second half of 2024. The pork price continued its decline to 1.72 euros per kilogram, the lowest level since June 2022. Meanwhile, feed costs further increased to 104,700 euros. The rolling annual margin remained at 316,900 euros per farm, still 25% above the long-term average, but margins are under pressure .
Sows
The monthly gross margin for sow farms amounted to 52,000 euros per farm in January 2025. This was lower than in December (nearly 56,000 euros) but higher than the low point in September 2024 (37,000 euros). The decline in January was due to a slight drop in piglet prices and rising feed costs. The rolling annual margin remained high at 1,015,000 euros per farm, more than twice the long-term average. |