Major shifts in the animal protein market in 2025

The European animal protein market is set for significant changes in 2025. Beef and pork production will continue to decline, while the poultry sector is expected to maintain strong growth. Structural challenges such as sustainability requirements and shifting consumer demand are putting pressure on the sector, yet these challenges also present opportunities for shifts in production and consumption.

Pork production under pressure due to shrinking livestock numbers

European pork production is expected to decline further due to a shrinking sow herd. In countries such as the Netherlands and Italy, the sow population decreased by 6% in the first half of 2024. This has direct consequences for production in 2025, which is expected to fall by 1% to 2%. Additionally, the sector faces uncertainties surrounding trade relations, such as China’s anti-dumping investigations into European imports.

Poultry sector continues to grow despite challenges

Poultry remains the fastest-growing sector in Europe. In 2024, production grew by 3.5%, and this trend is expected to continue in 2025 with a further increase of 3% to 3.5%. Eastern and Southern European countries, such as Poland, Romania, and Hungary, are benefiting from the growing demand. However, in Northwestern Europe, stricter regulations and increasing sustainability requirements pose challenges, forcing some producers to adapt their business models.

Beef production continues its downward trend

European beef production is set to decline further in 2025, with an expected decrease of 1% across the EU and as much as 2.5% in the United Kingdom. France, Germany, and Spain already experienced reductions in their cattle herds in 2024, and this trend is expected to continue. Rising feed costs and stricter environmental regulations are making beef production less attractive, while consumers are increasingly opting for alternative protein sources due to high prices.

Export opportunities and risks

Despite declining production, Europe remains a key exporter of animal proteins. However, pork exports are expected to drop by 1% to 2%, driven by a combination of decreasing production and geopolitical tensions, such as potential new import tariffs in the US. On the other hand, exports to Turkey remain a bright spot, as demand there continues to grow.

The European animal protein industry faces a challenging year in 2025, as producers navigate cost control, sustainability demands, and geopolitical uncertainties.

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