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.
Hogs
Cash hogs were a little over $1 lower last week with a weighted average price of $84.13/cwt. The pork cutout value has been sluggish but gained at the end of last week. While the cutout averaged $93.27, it was $4.22 higher on Friday at $97.00. A year ago, the cutout was $100.55. Pork production is 2.7% less than 2024 year-to-date and hog harvest is 3% lower. Less pork is being exported than last year, which may in part explain the lower prices. Domestic demand, while strong, has not grown as much as would be expected given the difference between pork and beef prices.
Last week’s estimated harvest under federal inspection was 2.380 million hogs. This is 104,000 fewer than the previous week and 101,000 fewer than a year ago. A month ago, 40-pound feeder pigs were bringing over $100/head but were $82.81/head last week. Early-weaned pigs reached highs in the $60s but have also come down in price, averaging $44.41 last week. Futures prices at the Chicago Mercantile Exchange were higher to open this week but were mixed by Wednesday and opened lower Thursday.
Lamb
The cash lamb market continues to experience pressure with prices $15-$50/cwt lower last week. The lamb carcass cutout value was $464.91 last Friday, making it $1.93 higher than the previous week. Estimated harvest for last week was 34,000 sheep and lambs, 7,000 fewer than the previous week and equal to the same week last year. As could be expected, feature rate and lamb at retail outlets was sharply higher with the Retail Activity Index increasing by 70.6%. In addition, 1.26% of sampled stores offered no-price promotions (free items, BOGO, etc.) and cooked Easter meals including lamb. New crop lambs brought $185-$215/cwt with some light market lambs topping at $220/cwt.
