Prepared and written by Jeff Swenson, DATCP Livestock and Meat Specialist. The Market Update draws information from several sources, including trade publications, radio broadcasts, agricultural news services, individuals involved in the industry as well as USDA NASS and AMS reports.
Market weights have been higher than a year ago and that is adding to the challenge of larger hog numbers. The country’s largest pork-producing areas are expected to experience a hotter-than-normal June, which should cause live and carcass weights to decrease.
While the temperatures will impact appetites, it should provide good growing conditions for the nation’s corn crop, causing optimism for lower feed prices for pig farmers.
Cash hogs were 60 cents lower last week with the pork cutout value falling 53 cents to average $100.29. The cutout struggled this week. The average retail price of pork in May was $4.92/pound, making it 11 cents higher than April. The average retail price was $4.73 a year ago.
Last week’s estimated harvest of 2.390 million hogs was 32,000 fewer than the previous week and up 64,000 from a year ago. Year-to-date harvest is .09% higher than last year with pork production .08% above 2023 so far.
Lamb
Market lamb prices have proven resilient heading into summer. The cash market was quoted as steady to $20/cwt higher last week and negotiated prices are 21% higher than this time last year. The carcass cutout fell nearly $10 last week to $462.87 on Friday. The cutout was $431.62 a year ago.
It was estimated that 33,000 sheep and lambs were harvested last week, making it 3,000 head fewer than the previous week and 1,000 fewer than a year ago. Harvest is running 2.6% higher than a year ago, although lamb and mutton production is .04% lower year-to-date.
While cattle weights continue to increase and hog weights are holding steady, it appears market lamb weights are getting lighter. Higher temperatures will likely cause this trend to continue.
