Jurgen Preugschas, Canadian Pork Council president, reports that the country's pork producers must adjust to a strengthening Canadian dollar as reported by Farmscape.com. A reduction in hog supply in 2010 resulted in improved hog prices, and prices are expected to remain strong in 2011.

Preugschas warned that feed prices are expected to climb. Competitiveness of Canadian pork may also be reduced by the growing strength of the Canadian dollar.

Preugschas says, "The impact of the strong Canadian dollar vis a vie the U.S. dollar affects our exports and being that pork in Canada, over 50 percent is exported to other nations, it has a tremendous impact. Having said that we also realize that we're not going back to a 70 cent dollar so we're going to live with a strong dollar."

In 2010, Canadian pork producers anticipated improved prices and saw a brief return to profitability during the summer only to be disappointed as the market crashed in the fall.

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Source: Farmscape.com