Estonian pig farmers seek state aid as EU market oversupply hits prices

Pig farmers in Estonia say they are struggling financially as African swine fever (ASF) has shut down several export markets, forcing major EU producers such as Germany, the Netherlands and Spain to sell most of their output within the bloc. This has created a supply glut that has driven prices below production costs: the average EU market price stands at €1.60 per kilogram, while Estonian producers face costs of €1.80 to €1.90.

Made-Britta Eensalu, head of Vasula Farms and a member of a pig farmers' association, said many Estonian operations follow welfare-oriented practices, raising pigs on straw and employing more staff, which puts smaller producers covering these extra costs themselves in an especially difficult position.

On Tuesday, representatives of both large and small producers appealed to the Ministry of Regional Affairs and Agriculture for emergency assistance. Valmar Haava, a board member at Ühinenud Seafarmid, said improving efficiency in the sector is impossible without state investment.

Possible EU-level relief

Madis Pärtel, deputy secretary general of the ministry, said aid could potentially come through the Common Agricultural Policy by increasing an existing measure for pig farmers, and that the ministry plans to write jointly with the sector to the European Commission, coordinating with neighboring countries facing similar problems.

However, farmers warned that such support would likely not arrive before next year at the earliest, meaning some businesses may have to close before then. Priit Dreimann, a board member at Maag Agro, said many small producers will reach a critical point by the end of the year, with market exits likely to be reported as early as November or December if prices do not recover. He said it would be enough for the state to simply cover the gap between production costs and selling prices for as long as the anomaly persists, though the ministry made no such commitment on Tuesday.

Industry representatives also pointed to the wider strategic value of pig farming beyond food production. Lauri Jasmin, an environmental expert at the Estonian Biogas Association, noted that pig farming waste could theoretically supply nearly all of Saaremaa's gas needs, underscoring the sector's importance for energy security and fertilizer production as well as food security. Some producers already went bankrupt following last year's ASF outbreak.