U. S. hog prices have bounded higher in recent months, an unusual development for this time of year, narrowing losses for cash-strapped producers. But it will be several more months before the U. S. hog sector, which has lost money for nearly two years, sees regular profits and even longer before it fully recovers. Stronger
U. S. Hog Sector Cuts Losses, But Recovery Far Off
Stay-At-Home Consumers Bite Into Pricey Steaks
Meat-loving consumers in the United States are eating out less, but they are not forgoing taste and quality as researchers have found that more restaurant-quality prime-and choice-grade steaks are being served on family dinner tables. Beginning in 2008, cash-strapped consumers shifted to at-home dining. As a result, with restaurant business on the decline, meat companies
Swine Fever May Impede Growth In Russia Herd
The spread of African swine fever, a deadly hog disease, to near St. Petersburg could threaten Russia’s attempts to become self-sufficient in pork production, the U. S. Meat Export Federation said Oct. 28 in a note to members. “If recent ASF outbreaks in Russia are as widespread as available information indicates, they could represent a
Hard Times Have U. S. Hog Producers Seeking Help
“The big driver of losses for this business is the run-up in costs of production.” – STEVE MEYER U. S. hog producers, who have been losing money since late 2007, have asked the U. S. Agriculture Department for $250 million in assistance, of which $150 million would buy pork for federal food programs. Producers also
Slumping Hog Futures — Sell Or Buy?
U. S. hog futures, which slumped to a seven-year low last week as the recession took a big bite out of demand, is seen by some analysts as a buying opportunity. But others are not convinced that the worst is over. “If I was a speculator, I would probably buy them,” Jim Robb, economist at
U. S. Hog Producers Can Expect More Pain
U. S. hog producers, on average, have been losing money since October 2007, and with losses of $40 per hog likely in the fourth quarter this year pressure will increase on producers to quit or downsize, economists said. “The string of losses have been long enough that by fall we should see some bankruptcies,” said
U. S. Hog Industry Struggling
Summer is usually a profitable time for America’s hog producers but this year swine flu, recession and high feed prices have even the largest farmers operating deep in the red and some smaller ones on the brink of bankruptcy. Before things get better, the weakest are expected to fail and even those who survive will
Smithfield’s Outlook Improves
Smithfield Foods Inc. said May 13 it should meet its fiscal 2009 fourth-quarter debt covenants and appears to be on track to comply with fiscal 2010 covenants. It also said pork exports are recovering after being disrupted recently when countries banned the meat as a precaution against the H1N1 strain of flu. Speaking at the
Investors Liking The Taste Of U. S. Meat Companies
“Even though we may be at the bottom of the recession, we still have to climb out of it.” – JIM ROBB Investors like the taste of meat again, bidding up shares of Tyson, Smithfield, Hormel and Sanderson Farms as the spring and summer cookout season is about to heat up. While some of these
New Label Law Shakes Up U. S. Meat Industry
Bryan Karwal raises and sells 18,000 Canadianborn hogs a year on his Iowa farm, but a new food-labelling law designed to help consumers threatens that business because it has shut off key markets for the hogs. The law has also angered Canada and Mexico because they say it will hurt demand for their cattle and
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