Feed accounts for over 60% of production costs in pig farms, and grain price volatility directly affects the sector’s profitability. In 2024, the price of corn increased by 18%, and that of soybeans by 22%, according to European market data. These increases raised the production cost of a pig by 15–20% compared to the previous year.

Large vertically integrated farms manage to mitigate the impact through their own feed production. In contrast, small and medium-sized farms, dependent on external purchases, face losses and financial difficulties. The live pig price of 8.5 lei/kg in 2024 does not fully cover these costs.

Specialists have identified several solutions, including long-term grain contracts, diversification of plant protein sources, and the use of high-performance genetics that reduce feed requirements. In addition, investments in silos and feed consumption monitoring equipment can improve efficiency and reduce losses.

The NSP and AFIR 2023–2027 programs provide financial support for own-feed production and infrastructure modernization. Rapid adaptation of farms is essential to maintaining competitiveness and reducing dependence on international market fluctuations.

(Photo: Freepik)