The Polish meat industry may shrink by as much as 80 percent over the next 10 years, the media reports. According to the Puls Biznesu business daily, the crisis in this industry has been caused by the fact that meat production costs rocketed in 2011.
The prices of grain, fodder, and livestock all escalated, whilst the revenue from meat products was unable to match the pace of these price hikes. The small and medium sized slaughterhouses, as well as meat processing plants were the worst hit. Representatives from the meat industry agree that within a decade, a vast number of companies will disappear from the market. “The bankruptcy of abattoirs is a real danger for farmers who provide livestock,” says Ryszard Smolarek, head of the Polish Meat Industry Federation.
Analysts also believe that the number of butchers trading in Poland will also feel the drop in industry, with such stores in many towns expected to go out of business due to rising competition from supermarkets and discount stores.