Pork supplies in the U.S. market are tight, and a smaller Canadian hog industry is part of the reason, report agricultural economists Steve Meyer and Len Steiner in the Daily Livestock Report.
The total inventory of hogs and pigs in Canada as of April 1 was 11.635 million head, 2.1 percent lower than a year ago and 22.6 percent lower than in April 2006, according to the economists.
The most recent combined U.S. and Canada hog inventories are now pegged at 75.623 million head, 2.7 percent lower than a year ago. In addition, Canada’s breeding herd is 5.6 percent lower than the previous year and an indication that Canadian hog producers remain very much in a liquidation mode.
The combined U.S. and Canadian sow inventories are now estimated to be 7.064 million head, 4.2 percent smaller than a year ago and 8 percent smaller than in 2008. That kind of decline in the overall breeding herd helps explain the overall tight hog supplies currently seen in the U.S. market.
Source: CME Daily Livestock Report