U.S. pork market on the way to increasing volumes and falling prices
The U.S. pork market has brought a satisfying grilled summer behind him. And despite 6% increase in supply prices are not broken up in the Hauptnachfragesaison, but have moved at a price level of €1.50 / kg.
However, rising exports, were helpful with not inconsiderable obstacles as a result of the strong U.S. dollar and the massive increases in competition resulting from the EU-28. However, main drive factor remains the domestic demand due to favourable economic conditions.
For the upcoming/autumn / winter period , the development looks less cheap. The number of slaughterings increasing regularly during this time. At the same time the battle weights again to, which in the summer when high temperatures usually give.
Recent findings show that the carcass weight level 2014 /is 15 above the levels of previous years. The reason is to compensate for missing animals as a result of the pig epidemic PEDv during the winter months. Despite the abating of the mortality rate were the adjusted Mastendgewichte only slightly down, but not as high as in the year 2014, as the disease had reached its first climax.
Due to the usual seasonal developments , it is assumed that the weights will increase again. A significantly increasing pork supply in the United States is expected in connection with increased animal numbers. Thus, the U.S. meat industry faces a major challenge. Flagging domestic demand and continued high dollar exchange rate is expected to market pressure.
On the U.S. stock exchanges the autumn winter - tradedforward rates at a level of € 1.30 / kg . With low cost, may succeed sellers the US to compete in the export business. The main competitor is the EU, as the world's largest supplier of pork at the world level.
United States and the EU together determine the international pork trade to more than 60% in similar large proportions. The development of the next time runs on a sharp competition between these two areas of production.
