Cristiano Corvino and Gavin Jones

ROME (Reuters), – Carlo Vittorio Ferrari is a brother who manages a farm that houses 2,000 pigs near Cremona in northern Italy. He fears the conflict in Ukraine could cause him to lose his fourth generation business.

It is a significant global supplier to animal feed. However, the country’s stock levels are declining rapidly in import-reliant parts of southern Europe.

As they protect their supplies, Hungary, Serbia, and Moldova have also banned exports. This has caused a spike in costs at farms such as Ferraris, which could threaten their future. If the situation does not improve, many animals will be killed.

This is a family enterprise. Ferrari explained that the business was kept going by my grandfather during wars. His father saw another, and I am not certain if it will survive this one.

Italy demanded that EU rules restricting state aid to this sector be waived. Spain however has taken measures to allow for emergency purchases from Argentina and Brazil.

Elisabetta Quaini from Lombardy in northern Italy, said, “I am hearing increasing reports that farmers are slaughtering their livestock, but I want it to be avoided.” She keeps 1,300 dairy cows at her farm and uses them for milk production as well as beef. “I have great concerns, but I’m determined to go on.

It’s not only corn; it also includes soya, and many other by-products which are difficult to locate. It is difficult to find what you need.

Michele Liverini is vice-president at Mangimi Liverini S.p.A. and said that if milk cows are killed, it will take 7 to 8 years to rebuild a dairy barn.

Ukraine ranks among the top four global corn exporters. The conflict caused major disruption to shipments.

We now face a storm. Liverini explained that when Ukraine’s exports stopped, other countries, such as Moldova and Serbia tried to stop exporting. We found ourselves in a huge problem at our ports.

The supply of food in Italian ports is limited to 25 days, as ships arriving from these countries every week arrive.

LARGE HERDS

According to EU data 2021, Spain’s livestock herd is the biggest in Europe, with 58.8 millions head. Italy ranks fourth, with 22.5 millions head.

Both countries are known for producing a variety of international-recognized farm products such as Mozzarella di Bufala in Italy, Prosciutto di Parma (Spanish) and Jamon Iberico (Spanish).

Pietro Fusco is the chief executive officer of Cirio Agricola. He said that the milk sector had already been stressed since it was hit hard by the COVID-19 pandemic for the past two years.

According to him, they are considering feeding the herd less food as a first step. However, eventually the farm will need to be able to afford to slaughter certain animals for their safety and livelihoods.

“There are also problems with transportation and thus the inability to get supplies on-time,” he stated.

Euronext, a Paris-based exchange, saw corn futures rise to record levels of 420 euros per tonne in May. That’s up roughly 50% from the time Russia invaded Ukraine.

Spain is a significant customer of Ukraine and has also seen its feed stocks decline.

Agustin De Prada (OTC) is the manager of Spain’s Asoprovac ranchers association in Castile and Leon. He said that the cost rise had been severe and has raised doubts about the viability and sustainability of the farms.

Will I get new animals if I have to sell my animal? It’s possible, but not because it’s impossible.

Produces claim that consumers need to pay more for meat, eggs and milk in order for them to be able survive. This further increases food inflation which has been a problem all over the world since the COVID-19 pandemic.

Emilio Rial is the director of Coren Group, which is a large Spanish farmer’s cooperative. He said that basic food production costs have jumped by 40%.

He said, “We will not pass it all along to the consumer through negotiating with large supermarkets. But prices will invariably rise.”