HAMS AND PIG SHOULDERS SECTOR

SECTOR

During 2014 the market for cured hams and sausages has begun to be clarified after overcoming the problems of over-supply recorded by the Iberians. Sales abroad continue to record positive figures and appear to have opened up good prospects for the future. Sales in the free service of hams and cured shoulders reached during 2014 up to about 561,300 tonnes, worth over 698 million euros. Sales of hams and white pallets amounted to just under 45,870 tonnes and 483.6 million euros. In turn, 10,430 tonnes of Iberian hams and shoulders were sold for a value of 214.4 million euros (+ 7%). Within the white hams, ham pieces make up 40.9% of all sales in volume and 26.4% in value. Although they are less important in volume (29.9% of the total), slices are the main item in value, with 45%. Other cuts of white hams (16% in volume and 16,5% in value), pallet pieces (6.4% and 3.6%), white sliced sausage (6.6% And 8.3%) and other cuts of white palette (0.2% in volume and value). In the case of the Iberians, hams account for 56.2% of the total in volume and 41.4% in value. Sliced hams make up 11.2% and 28.2% respectively. Then, other cuts of ham (1.7% and 1.8%), pallets (19.4% and 10.4%), sliced (6.9% and 15.8%) and other cuts of Palette (4.6% and 2.2%).

BUSINESS STRUCTURE

The Spanish sector of the manufacturers and traders of cured hams has undergone a strong process of reconversion, with large investments to increase the production capacity of the main groups in the sector, while promoting strategies of internationalization. Concentration processes tend to be very noticeable in this sector. The main company presents a production of 24,900 tons, while another two are around 15,000 tons per year. The fourth and fifth group reach in each case the 14,500 tons. Regarding sliced, the leading operator reaches 12,400 tonnes, which accounts for 83% of all its business, the second is close to 8,050 tonnes (32% of total business) and the third round 6,960 tonnes Tonnes (48%). Distribution brands represent 34.3% of all sales in volume and 36.6% in value, while the first brand offers a percentage of 19.6% and 15.9%, the second is the 15.3% in volume and 18.3% in value and the third is 4.5% and 5%. In the case of sliced, the preponderance of white marks is higher, with a share of 62.3% in volume and 57.2% in value. The first offer with a manufacturer’s brand reaches 17.3% and 19.7% and the second only accounts for 2.9% and 3.5%.

FOREIGN TRADE

Foreign trade in cured hams and potatoes has become a key element in boosting the development of this sector, as increases in domestic demand are insufficient to absorb all production. During the past year, the increase in exports was 10.2%, maintaining the positive trend of recent years. Since 2009 exports have grown by an important 58.1%. In 2014, 34,240 tonnes of cured hams and paddles, equivalent to about 6.5 million pieces, were exported, of which just over 90% were made up of white pigs. These exports amounted to around 310 million euros. The average price of exports was 9.05 euros / kilo, clearly above that obtained in the domestic market, which is a claim for new companies to opt for this option. The main destination markets are Germany, with 26.3% of the total in volume and 24.5% in value, and France, with quotas of 25.2% and 24.2 respectively. Portugal (10.2% and 7.7%), Italy (8.5% and 6.6%), Belgium (3.1% and 3.4%), the Netherlands (2.9% And 3.1%), United Kingdom (1.9% and 2.6%), Sweden (1.5% and 2% 9, rest of the European Union (3.9% and 4.4%), Andorra (2.4% and 3.1%), the United States (1.5% and 2.1%), the rest of Europe (2.8% and 3.9%), Mexico (2.4% ), Asia (2.3% and 4.2%) and Africa and Oceania (1.4% and 1.8%).

About the author

Montse Gonzalez