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German Farmers Warn of 2026 Strain as Pork and Grain Prices Slump

Sector leaders say falling farm-gate prices are tightening cash flow despite new energy-tax relief.

Overview

  • Producer prices have dropped sharply, with pork at about €1.45 per kilogram and grain back to early‑1980s levels, leaving some farms selling below cost.
  • Liquidity is tightening, with investments frozen and warnings that some farms could close; farmers are urging shoppers to support higher‑quality domestic produce.
  • Agrardiesel refunds and lower power taxes took effect at the start of 2026, but higher CO₂ pricing and a €13.90 minimum wage erode the benefit.
  • Ahead of Grüne Woche, the Bundestag is slated to push mandatory pork husbandry labeling from March 1, 2026 to January 1, 2027, while funding for costly barn upgrades remains unresolved.
  • Rukwied argues the EU‑Mercosur pact would intensify competitive pressure in beef, poultry, ethanol and sugar and risk lower‑standard imports.