Cattle Prices in Germany: Trends and Forecasts

Price war on the market

The situation on the cattle market in Europe can be described as a real price war. Slaughter companies are faced with renewed growth in MEAT prices , which were already high. Farmers, in turn, are limiting supply, which leads to an even greater increase in prices. Last week, the Association of German Livestock and Meat Societies (VEZG) increased the recommended price by 10 euro cents per kilogram for all cattle categories. This decision was a response to the supply shortage on the market, which, as practice shows, does not satisfy the growing demand.

Market in figures

According to the latest data, the price of slaughter cows is now 6.15 euros per kilogram. For heifers, cattle owners can receive from 6.2 to 6.5 euros depending on the class, and for bulls - from 6.62 to 6.85 euros per kilogram. These figures show that farmers have the opportunity to earn more, which in turn means that they are in no hurry to send their animals to slaughter.

In the south of Germany, the situation is even more tense. For example, in Bavaria, the average price of beef reached 6.20 euros per kilogram at the beginning of June, which is significantly higher than the national average (6.08 euros per kilogram). This indicates that in some regions, demand for meat exceeds supply, which creates additional preconditions for price increases.

Reasons for the shortage

One of the reasons for the limited supply is not only the desire of farmers to hold on to livestock, but also the difficult conditions for farming. Pandemiccovid-19 , climate change and the increasing costs of feed and housing for animals have led to many farmers experiencing financial difficulties. In such circumstances, they prefer to keep their animals, waiting for better offers on the market.

In addition, it is worth noting that in recent years there has been an increase in interest in environmentally friendly and organic products. This also affects the market, as farmers seek to improve the quality of their livestock and, accordingly, their price. Future

forecasts

Based on current trends, it can be assumed that cattle prices will continue to rise in the coming months. If the supply situation does not change and demand remains high, farmers may increase the prices of their animals even more. However, slaughter companies will be forced to adapt to the new conditions, which may lead to a change in their business models. In conclusion, the cattle market in Germany and Europe is at a crossroads. Farmers, slaughter companies and consumers must be prepared for changes that may affect the entire meat supply chain. It is important to monitor trends and adapt to new conditions in order to remain competitive in this dynamic market.