African swine fever to drive up pork prices for years
A highly contagious virus that has wiped out more than a quarter of the world's pigs is set to drive up both pork prices for years to come.
Up to 60 per cent of the pig herd in China has died from African swine fever or been culled as a result, pushing the price of pork up for foodservice operators and consumers alike.
The cost of pork and pig intestines has increased at least 40 per cent in the past year, with experts warning the price increases will last for years.
As the supply of pork has been squeezed, demand for other proteins has also spiked causing a flow in effect for prices.
The Australian Bureau of Agricultural and Resource Economics and Sciences said new outbreaks were still occurring, although it had yet to reach Australian shores.
"The significant shortfall in protein supplies is likely to persist for some years and has led to sharply rising meat prices," the report said.
"Australian farmgate prices for cattle, sheep, lambs, pigs and goats are forecast to be higher year-on-year, partly as a result of strong export demand from Asian countries affected by the outbreak."
Speaking to the ABC, Meat and livestock analyst Simon Quilty said the "impact is quite unprecedented".
"Global meat prices are on the rise and in particular lean beef prices are up 40 per cent in just the last three months," he said.
"This is going to be a sustained increase in pricing for the next three to five years.
"It's very difficult to replace the 250 million or so pigs that have been lost so far."
Sheridan Randall, 12th December 2019
