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Barbecue Sausages Are Set to Get Expensive for Europeans

Megan Durisin
(Bloomberg) -- Europeans may have to shell out more for barbecues this summer as a hog disease decimates herds halfway around the world.Farmers in China and its neighbors are grappling with outbreaks of deadly African swine fever, boosting demand for foreign meat. Producers in the European Union -- the world’s top shipper -- have been among the biggest winners this year, with sales to China climbing 43% through May.While that’s a boon for pig farmers, it’s also spurring higher bratwurst bills for European grillers. A gauge of pork prices in Denmark is the highest since 2017 and a similar measure in Spain is at the loftiest in a decade, government data show. In France, an industry group for butchers and processors called the pork situation a “crisis,” saying many members are renegotiating prices with retailers and charcuteries to cover surging costs.Rising wholesale prices aren’t immediately reflected at the checkout, but the increases may make shops less likely to put sausages on sale for summer cookouts.“During barbecue season, there’s typically packs of cheap pork to tempt shoppers into the store,” said Rupert Claxton, meat director at consultant Gira. “You won’t see anything like the levels we’ve seen traditionally.”EU residents are some of the world’s top pork consumers, and prices may stay high for a while yet. The bloc’s exports are seen climbing about 12% this year and next as China buys more, the European Commission forecast, and domestic consumption will wane as some shoppers select cheaper chicken options.The impact of China’s hog losses on global pork prices “is likely to continue for many more months,” France’s agriculture ministry said this week.\--With assistance from Gregory Viscusi.To contact the reporter on this story: Megan Durisin in London at mdurisin1@bloomberg.netTo contact the editors responsible for this story: Lynn Thomasson at lthomasson@bloomberg.net, Sam Unsted, Lars PaulssonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

(Bloomberg) -- Europeans may have to shell out more for barbecues this summer as a hog disease decimates herds halfway around the world.

Farmers in China and its neighbors are grappling with outbreaks of deadly African swine fever, boosting demand for foreign meat. Producers in the European Union -- the world’s top shipper -- have been among the biggest winners this year, with sales to China climbing 43% through May.

While that’s a boon for pig farmers, it’s also spurring higher bratwurst bills for European grillers. A gauge of pork prices in Denmark is the highest since 2017 and a similar measure in Spain is at the loftiest in a decade, government data show. In France, an industry group for butchers and processors called the pork situation a “crisis,” saying many members are renegotiating prices with retailers and charcuteries to cover surging costs.

Rising wholesale prices aren’t immediately reflected at the checkout, but the increases may make shops less likely to put sausages on sale for summer cookouts.

“During barbecue season, there’s typically packs of cheap pork to tempt shoppers into the store,” said Rupert Claxton, meat director at consultant Gira. “You won’t see anything like the levels we’ve seen traditionally.”

EU residents are some of the world’s top pork consumers, and prices may stay high for a while yet. The bloc’s exports are seen climbing about 12% this year and next as China buys more, the European Commission forecast, and domestic consumption will wane as some shoppers select cheaper chicken options.

The impact of China’s hog losses on global pork prices “is likely to continue for many more months,” France’s agriculture ministry said this week.

--With assistance from Gregory Viscusi.

To contact the reporter on this story: Megan Durisin in London at mdurisin1@bloomberg.net

To contact the editors responsible for this story: Lynn Thomasson at lthomasson@bloomberg.net, Sam Unsted, Lars Paulsson

For more articles like this, please visit us at bloomberg.com

©2019 Bloomberg L.P.