A combination of stronger hog prices and lower feed prices has put the pork outlook into the black for the coming year, says a Perdue University agricultural economist.
“That good news came from USDA in two forms. The first was the September Hogs and Pigs report which indicated little change in the size of the breeding herd. The second was the feed-price lowering impacts of higher-than-expected corn inventories revealed in the September Grain Stocks report,” says Chris Hurt in the National Hog Farmer.
The pork herd expanded slightly in 2011 – an increase of 0.6 percent – as pork producers awaited the corn and soybean yield and price outcomes of the 2011 growing season. Pork production for the coming year will be up 2 to 3%. This will be led by higher sow productivity and by somewhat higher market weights with lower feed prices, Hurt notes.
Source: National Hog Farmer