Drought-Stricken Corn and Soybeans to Fuel Meat Price Spike in Serbia

Low yields of corn and soybeans in Serbia's Vojvodina region due to drought are expected to raise meat prices. According to agricultural economist Zarko Galetin, the price of sunflower has stabilized at around 52 dinars per kilogram, comparable to last year's prices. However, the yields of sunflower are still expected to fall short of previous years.

The shortfall in domestic corn, soybeans, and sunflower meal affects the price of animal feed, which then impacts meat, meat products, and milk. Unlike grain, which sells immediately after purchase, the effect on meat prices appears with a lag, as livestock farmers draw down existing stock before raising prices at the farm gate.

The drought has also made river transport more difficult due to low water levels on the Danube. This increases logistics costs for exporters and adds pressure on domestic producers targeting the European Union market, who must meet EU standards across the entire production process.