According to the USDA’s latest World Agricultural Supply and Demand Estimates report, pork production was reduced from last month while the forecast for hog price increased.
“Pork production is reduced from last month as higher carcass weights are insufficient to offset tighter supplies of hogs,” the report said.
If the March projection is realized, 2014 pork production would be slightly above production in both 2012 and 2013.
Hog prices were forecast higher on expected tight supplies of market hogs coupled with strong demand. The report increased the range for barrow and gilt prices by $4 to $65 to $69 per head.
The report also lowered pork exports.
“Pork imports are raised as prices are forecast higher, but the export forecast is reduced as high prices are expected to constrain sales,” the report said.
In total, the USDA lowered its 2014 forecast of red meat and poultry production as lower pork, broiler and turkey production offset higher beef production.