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Slow Growth Projected for Pork Market

10 October 2012, at 12:31pm

JAPAN - Growth in Japan’s 2013 pork market is projected to be slow due to an anticipated contraction in total supply and weak demand. Due to the weak market, competition between lower priced domestic pork and imported chilled pork is expected to intensify, especially for retail sales.

Although, Japan’s pork market enjoyed a high level of imports and consumption in the past, this may no longer be the case. Japan’s pork sales, especially in the retail and the food service, have stalled this year due a large (and thereby cost-competitive) surplus poultry meat.

Pork sales are now expected to adjust downward slightly in 2013 in response to low market prices and weakening demand and Post projects weak growth in Japan’s pork market in 2013.

At the same time, it is expected that Japan’s high dependence on imported grains will raise prices of livestock feeds for the forecast year. This sets a rather difficult tone for 2013 for Japanese livestock producers’ market outlook for their already relatively expensive domestic beef, especially for cuts from high-grade Wagyu carcases.

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