Weak economic growth is taking its toll on global pork consumption. According to the latest Rabobank quarterly pork report, despite early signs that the worst of the inflationary impact may have already passed, the lagged impact on consumption is likely to be felt throughout 2023.
Pork remains well-positioned, as demand for the protein is historically less income-sensitive than more expensive proteins like beef and premium seafood.
“Nevertheless, we see persistently high retail prices limiting consumption of all proteins. Consumers continue to conserve capital by shifting everyday purchases to lower-value protein options, switching channels, and moving to smaller pack sizes,” says Christine McCracken, senior analyst – animal protein at Rabobank.
In 2022, the industry optimism following a notable upward shift in pork consumption (and prices) in some markets and the expectation of a 2023 recovery of pandemic-restricted consumption in others contributed to planned supply growth in 2023 that will take time to curb, the report points out.
Click here to see more...