The head of Denmark’s Pig Producers Association said farmers are losing EUR47 (US$74.19) for each pig delivered for slaughter, a total loss of EUR280m industry-wide over the past three months.

Association chairman Torben Poulsen said Danish, Dutch and Germany pig producers were playing a dangerous game of bluff. “Production has to fall for prices to rise. Now it’s about who blinks first. The Dutch and Germans think it should be the Danes because we have so much debt. But our companies are bigger and more efficient so we say it’s the others that should close.”

Market analysts say pork prices are expected to rise in the second half of 2008 and that fodder prices should fall between 25-3% after the European harvest.

Danish Bacon producer Tican, one of the largest suppliers to the British market, this week laid off 90 workers at its processing plant in Thisted, western Denmark, saying production had to be reduced by 15% from the end of May.