While red meat production levels are staying at near-record to record levels going into the last month of the year, there has also been a notable change in export sales from 2015. Meat Production Levels Remain High As noted in the table above, hog slaughter was estimated at 2.54 million head, a new record. The weekly rate had never been greater than 2.5 million head prior to this year, but it hit that mark four out of seven weeks in October and November. Last week’s feeder pig receipts and pigs originated in Canada were at very high levels as well. Beef production is also up on higher slaughter numbers. The official data for October shows steer and heifer slaughter up 5.2 percent, and estimated data through November shows it holding that...
Key Takeaways: Dry bulk markets remain mixed with Capesize vessels seeing continued pressure from weaker demand while fixtures and rate strength gradually increases towards the smaller vessel classes. Tanker markets are pulling back from their recent highs as tonnage moves out of the Mid...
The Trump import plan for 300,000 MT of beef supplies used for ground beef, i.e., lean trim, from September through November has, according to Secretary Brooke Rollins, brought some relief to beef prices. The Executive Order states that the Secretary of Agriculture will analyze and review the m...
Key Takeaways: Texas illustrates the assumptions underlying the 2025 FMMO reform; Idaho exposes their limitations. The Southwest order blend (roughly 27 percent Class I, 32 percent Class III and 31 percent Class IV) exposes Texas producers to every lever USDA adjusted, with a near-neutral proj...
From WPI Consulting
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.