In the 2024–2025 period, the European Union’s agricultural market recorded increases in average agricultural product prices ranging between 2.6% and 5.6%, according to Eurostat data, while the total value of agricultural production reached €531.9 billion in 2024, slightly down compared to the previous year. In this context, the structure of processing capacity becomes a key determinant of margins in the meat industry.

Processing units operating below their optimal utilization level bear high fixed costs relative to the processed volume. Expenses related to energy, equipment depreciation, and sanitary-veterinary compliance do not decrease proportionally with lower volumes, compressing operational margins. Legislative requirements on traceability and food safety are identical for all units, regardless of size, further reinforcing the economic advantage of economies of scale.

From an economic perspective, differences in competitiveness among processors are increasingly linked to the ability to synchronize processed volumes with real demand and to reduce technological losses. In 2025–2026, strategic decisions are no longer focused on expanding capacity, but on optimizing its utilization and adapting product portfolios to actual market demand.

(Photo: Freepik)