04.
07.17
15:25

High profits in the US pig fattening

US pig market: high and rising volumes and rising prices - how long? According to the PEDV epidemic in the USA in the 1st.Half-year 2014 with a massive slump in US pig stocks and extremely high prices to the order of more than 2 € / kg   The US pig owners until recently   Their holdings by more than 10%   increased. A decline in the price associated with the recovery has been associated with fluctuations typical of the yearIn comparative moderate   Tracks.Recently, however, a rather rare phenomenon has been observed: the price level continues to rise despite a large and even increasing supply. The grilling season-related seasonal effect is calculated. What are the reasons for this unusual development? The explanation provides the demand development .   Firstly, the Americans have a high level of employment, which yields high average income . In addition, pig meat is being used more intensively for reasons of high beef prices, in particular during the barbecue season. Demand for poultry meat is rather subdued after avian influenza has become a constant issue in the USA.Ultimately, there is the fact that the US pork meat exports on high-speed runs. The first address is Mexico . Exports boom there. Even China exports are only moderate , US exporters have succeeded in supplying more Asian countries more. This includes, among others, Japan, which also imports valuable parts. Overall, rising prices are growing   Volume of the unusually strongly growing demand in Germany and abroad .In view of low feed costs , the US pig farms are generating above-average profits . This leads to further expansion of production. The question therefore arises whether   The current market and price development will continue in the future. The end-of-market prices on the stock exchanges already indicate a sharp fall in prices in autumn and winter months on the order of 1.30 to 1.40 € / kg. This represents a considerable part of a seasonal downturn in prices. The extent to which a cyclical downturn in prices also has an impact can only be seen at an early stage and can not be quantified yet.

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