18/08/2003 
Quo vadis, pig farming? -- Recession in Germany! A comment by Detlef Breuer
Recession!
According to the Statistische Bundesamt (federal office for statistics), Germany's gross domestic product -- the performance made in Germany -- has gone down by 0.2 percent in the second quarter of 2003, compared to the previous quarter. If negative growth is observed for two successive quarters, this is called a recession!
Bitter losses in pig farming!
As regards pig farming, the economical situation is not at all looking good. At present, the piglet producers are losing 5 Euros per piglet. Pig feeders even lose 10 Euros per fattener. It's been for quite some time now that the pig keepers were -- and still are -- unable to achieve a cost-covering margin. Meanwhile, it's about sheer existence for many farmers. Capital surplus has almost been used up, and liquidity is very critical.
Quo vadis?
Given 26.56 million pigs held in Germany, Germany's pig stock is facing a new record. And for the first time after many years, the number of pig keepers has increased by 700, going up to 109,000. The years before, about 6,000 farms had been closed down every year. Would this be a sheer act of desperation done by some bull feeders who now seek their salvation in pig feeding? And the uncertain political framework may also have been the reason for some pig feeders to quickly build a new stable, before the new Pig Keeping Decree gets into force. The Committee of Experts says that this financial year's production possibly might exceed the 41 million limit.
Pig cycle?
The pig cycle -- if still existing at all -- seems to be invalidated. Regardless of the low prices, the fattener stock increases. He who invests money today mostly is doomed to production, for better or for worse. No-one can afford to leave his new stable empty.
Put the Pig Keeping Decree into practice perfectly!
And now, what is the Federal Government's way of acting? Even after hearing all those well founded expert's statements, the Ministry of Consumer Protection forwarded the new draft of the German pig keeping decree to the Federal Chancellor's Office for passing it on to the Bundesrat -- without having revised it, but giving the original version of 11 April 2003 instead. Professional arguments, which had been brought into the discussions by the ISN and other organizations, have never been taken notice of, let alone been taken into consideration.
The hope remains that this excessive draft will be thwarted at the Bundesrat. Since the conservatively governed lands have the majority at the Bundesrat, a clear refusal seems possible indeed. Nothing else but a perfect putting into practice of the EU directive 91/630 must be allowed in Germany.
According to the Statistische Bundesamt (federal office for statistics), Germany's gross domestic product -- the performance made in Germany -- has gone down by 0.2 percent in the second quarter of 2003, compared to the previous quarter. If negative growth is observed for two successive quarters, this is called a recession!
Bitter losses in pig farming!
As regards pig farming, the economical situation is not at all looking good. At present, the piglet producers are losing 5 Euros per piglet. Pig feeders even lose 10 Euros per fattener. It's been for quite some time now that the pig keepers were -- and still are -- unable to achieve a cost-covering margin. Meanwhile, it's about sheer existence for many farmers. Capital surplus has almost been used up, and liquidity is very critical.
Quo vadis?
Given 26.56 million pigs held in Germany, Germany's pig stock is facing a new record. And for the first time after many years, the number of pig keepers has increased by 700, going up to 109,000. The years before, about 6,000 farms had been closed down every year. Would this be a sheer act of desperation done by some bull feeders who now seek their salvation in pig feeding? And the uncertain political framework may also have been the reason for some pig feeders to quickly build a new stable, before the new Pig Keeping Decree gets into force. The Committee of Experts says that this financial year's production possibly might exceed the 41 million limit.
Pig cycle?
The pig cycle -- if still existing at all -- seems to be invalidated. Regardless of the low prices, the fattener stock increases. He who invests money today mostly is doomed to production, for better or for worse. No-one can afford to leave his new stable empty.
Put the Pig Keeping Decree into practice perfectly!
And now, what is the Federal Government's way of acting? Even after hearing all those well founded expert's statements, the Ministry of Consumer Protection forwarded the new draft of the German pig keeping decree to the Federal Chancellor's Office for passing it on to the Bundesrat -- without having revised it, but giving the original version of 11 April 2003 instead. Professional arguments, which had been brought into the discussions by the ISN and other organizations, have never been taken notice of, let alone been taken into consideration.
The hope remains that this excessive draft will be thwarted at the Bundesrat. Since the conservatively governed lands have the majority at the Bundesrat, a clear refusal seems possible indeed. Nothing else but a perfect putting into practice of the EU directive 91/630 must be allowed in Germany.
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