Friland delivered progress and increased revenue in the first half of 2025/26, despite a period characterised by challenges in the European market for organic pork.
The large supply of organic pigs has pushed prices down — particularly in Germany, which remains Friland’s largest and most important market.
Despite significant price pressure, Friland increased revenue to DKK 625 million in the first half of 2025/26, compared with DKK 505 million in the same period last year. This was primarily due to a 15 percent increase in the number of pigs slaughtered.
“Friland delivers a satisfactory result in a difficult half-year for organic pork, where sales prices have suffered from growing supply. A continued strong organic premium in the quotation to farmers has made it attractive to produce organic pigs, but at the same time it has increased competition, which has particularly affected sales prices for the cheaper cuts of pork,” says Svend Schou Borch, CEO of Friland.
While the German market has been under pressure, Friland has experienced solid growth in both Denmark and the US, where sales volumes have strengthened since the turn of the year. In Denmark, growth was double-digit towards the end of the financial period, while US sales are being driven by an organic market that is growing twice as fast as the overall food market in the US. This has helped balance the overall business at Friland.
While Danish Crown’s general quotation for pigs has fallen during the financial period to an unsatisfactory level that does not ensure profitability on farms, Friland has maintained a high organic premium. This has reversed the decline in the number of organic pigs seen in previous years.
The current organic premium is DKK 13.85/kg, plus a quality premium of DKK 2/kg. Overall, the premium increased by 11.6 percent in the first half compared with the same period last year. The premium for free-range pigs has remained stable and currently stands at DKK 4.15/kg plus a quality premium. This indicates that free-range pork has a stable position in the market.
“It is positive that, unlike in the past, we are no longer short of organic pigs at the abattoirs every week. Despite price pressure in the market and a challenged quotation, we have managed to increase the organic premium compared with the first half of 2024/25, and this creates some stability for organic producers, so we can hopefully sell even more organic products in the future,” says Svend Schou Borch.
While organic pork sales are on a stable growth trajectory in Denmark, organic beef has been challenged. A decline in retail sales due to high consumer prices, combined with a lower number of cattle, has made the organic beef business less profitable.
However, since the turn of the year Friland has seen several positive developments on the cattle side. In particular, the addition of new suppliers from Thise Mejeri, whose cattle will now be slaughtered by Friland, has helped stabilise the raw material base. In addition, Tjele Gods and Gram Slot have also joined Friland, further strengthening the foundation.
“The addition of new suppliers has been crucial to our belief in greater stability in a difficult beef business. High consumer prices for organic beef mean that more consumers are turning to alternatives, which has had an impact on demand in retail. Creating a profitable business therefore requires a stable supply of cattle, which is in short supply across Europe,” says Svend Schou Borch.
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