Lower Pork Exports Expected to Pressure Live Hog Prices
10.03.2016
The Director of Risk Management with h@ms Marketing Services says an anticipated lag in exports of beef, pork and chicken combined with increased slaughter hog numbers will put pressure on live hog markets.
The US Department of Agriculture is forecasting lower beef, pork and chicken exports.
Tyler Fulton, the Director of Risk Management with h@ms Marketing Services, says the high US dollar has been a key factor.
«When you have constraints to the export sector, quite simply it relies on the domestic market to clear more of that product and when that’s the case price concessions are the key.» — he said.
Mr. Fulton says right now there’s a belief that the supply will be relatively heavy for all 3 of those proteins for all of 2016. He says pork in particular is likely to run into a problem due to the volume of product being produced and number of hogs that will come to market at the tail end of 2016.
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