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Danish Pork Exports Plummet

by 5m Editor
29 September 2009, at 1:01pm

DENMARK - As Danish farmers send increasing numbers of pigs to Germany for finishing and slaughter, the Danish Crown kill is in an accelerating downward spiral. During the first half of the year its exports plummeted 18 per cent.

Last year Germany passed Denmark and became the second largest pigmeat exporter after the United States. This year, for the first time ever, slaughterings will reach 56 million, a two per cent increase.

Meanwhile a business school study just published says Danish Crown should look upon the high wages it has to pay in its slaughterhouses as an opportunity rather than a competitive disadvantage.

High wages force a business to use its labour in the best possible way, by maximising automation and producing products people are prepared to pay a premium for, says the report.

Danish Crown agrees with the premise of the report, pointing out Denmark is still in the lead when it comes to slaughterhouse technology. But the company says it is no longer possible to balance increasing wages by increasing productivity, which is why it is having to fire people

Wages in Danish Crown slaughterhouses have increased 25 per cent since 2000, whereas in Germany they have fallen 5 per cent.