In 2020, worldwide meat production will supposedly decrease by 1.7% on annual basis. The pandemic, of course, is accountable for such downturn: according to FAO, Coronavirus outbreak has been affecting both production and consumption of animal products. Looking at Food Outlook 2020, we find out that meat now relies on China to overcome the most critical phase. In fact, the Asian giant imports are due to increase by 24% throughout the year.
Factors
As we said earlier, the pandemic has had multiple effects on the meat industry: the closure of bars and restaurants, owing to lockdown, for example, undermined the nicest cuts market, while a wind of recession has been hitting buyers demand. Yet, the virus outbreak has not been the only disrupting factor, reported the United Nations agency: in fact, persistent drought, in some areas of the world, alongside the so-called swine fever, in Asia, have had heavy repercussions on the business activity as well.
Meat relies on China
FAO have estimated an overall -1.7% downturn, but trends change depending on different product categories: in fact, slowdown will most affect pork meat production (-8%), while bovine meat is going to drop by -0.8%. As summarized by El Paìs, sheep meat and poultry meat will expectedly enjoy a positive trend, +0.9% and +2.4% respectively.
The only comforting messages come from estimates on international trade and exchange, as the industry majors will benefit from Chinese demand, which is due to increase by +24%: China’s imports of red meat will rise by +14%.
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