Changes in the Livestock of Hungarian Pig Farming and its Position in International Trade (Part II)

Abstract

The present paper aims to describe the dire conditions of the Hungarian pig farming sector struggling on the one hand with fluctuating fodder prices and the unpredictable conditions of production resulting in high overheads on the other. A direct consequence of the above is a perpetually nagging liquidity problem which slows down planned developments. Some pig farming ventures believe that strict hygiene regulations and high fodder prices render animal farming unprofitable and decide to stop pig farming altogether. According to some of the actors in the sector the pig industry is in a fatal state. It causes a problem for the domestic meat processes plants that are forced to import a significant proportion of their raw material. Another acute and constant problem for the industry is the access to loan capital, especially because they are unable to provide the collateral normally required by credit institutions from companies applying for credit. A new categorisation might help to solve this problem making capitalisation of agrarian producers easier by granting preferential treatment to investorslike regional , venture capital group sand the so-called business angels, without the businesses losing their entrepreneur status(Vinkler, 2006). In the first part it was presented the 2004-2013 period, the details of the pig industry and the situation of the pig population changes. In the second part the structure and evolution of the foreign trade situation of the Hungarian pork pig industry is presented.