The energy crisis hit the meat sector in Spain

 Between September 2020 and September 2021, the electricity costs of the MEAT sector increased by more than 40%.  

A recent study conducted by the Cde Comunicacion magazine among companies in the Spanish meat industry found an increase in energy costs for most enterprises. In particular, 62.07% of the companies surveyed said that from September 2020 to September 2021, these costs increased by more than 40%. In addition, another 25.86% of surveyed companies reported cost increases of between 25% and 40%. And only 3.45% of participants indicated that their electricity bill growth was below 10%.

The meat sector could suffer losses of more than 500 million euros if electricity prices remain at the same level as in recent months. 

The impact on the sector is yet to be seen, but given what the survey participants reported, the impact could be very severe as an increase in the electricity bill threatens to reduce the economic performance of the sector by 70%. Combined with this data and an estimated 5% increase in the CPI, current electricity bills are becoming a determining factor in the profitability and even viability of many meat companies.