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VION Food Netherlands will not be issuing prices today (Monday 17 January 2011). This applies to both the pig price and the prices of meat cuts.As a result of the dioxin issues in Germany, the situation on the European markets for livestock is so uncertain that no price can be quoted, the board of directors of VION Food Netherlands decided today.
Last Friday, German slaughterhouses announced that the price of German pork would be reduced by 23 cents per kg. Although Dutch meat is dioxin-free, VION Food Nederland’s clients are biding their time and being cautious.
Prepared
Dutch pig farmers are urging supermarkets in the Netherlands to buy their pork. VION is ready to supply the increased demand from the Dutch market.
Good Farming concepts
Together with Albert Heijn, VION is working on a separate pricing for pigs supplied through the Good Farming Star market concept. The product is Dutch in origin and was recently launched on the market by Albert Heijn, VION and pig farmers. The meat bears the Dierenbescherming (Dutch Animal Welfare organisation) hallmark.
VION is currently examining the payment capacity to loyal pig farmers within other, market-oriented Good Farming concepts.
Private storage
To bring the dioxin issue to an end, VION urges that a private storage scheme be set up for meat from areas in Germany hit by the dioxin scandal.
Care and effort
VION shares the major concerns of pig farmers about the effect of the price drop in Germany on Dutch pricing as a result of the German dioxin issues. However, with an EU market share of 5%, VION cannot influence the market to suit its interests. Nevertheless, VION is doing its utmost, given the market situation, with regard to the price of Dutch pork. VION is therefore closely involved in intensive chain consultations with all the links in the column, including contact with the government.
NVV letter
In a letter, the NVV (Dutch Union of Pig Farmers) has asked slaughterhouses to change the pricing method, proposing forms of consultation. VION has responded by stating that the dioxin crisis in Germany and the consequences for Dutch pork must take priority. At a later date, VION is willing to enter into consultation with pig farmers regarding pig pricing. Naturally, VION will respect the stipulations of the competition authority.
http://www.vionfoodgroup.com/en/news-press/news/post/vion-will-not-issue-prices-today/show.html
