Ed. Note: Media outlets planning to reprint the market update should include the following text at the beginning: 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.
Pork
USDA released a United States and Canadian Hogs report last week. Recent Canada swine heard trends are mirroring the U.S. trend with the breeding herd slightly less than a year ago, but larger market hog inventory. Canada’s breeding inventory on July 1 was 1.23 million head, 1% less than last year and 1% less than 2022. Market hog inventory, at 12.8 million head, was 2% higher than last year and 1% higher than 2022. The breeding inventory in the U.S. at 6.01 million head was down 3% from last year, and down slightly from the previous quarter. Market hog inventory, at 68.5 million head, was up 2% from last year, and up slightly from last quarter. Hog supplies continue to limit the market’s upside potential. Last week’s estimated harvest of 2.429 million was 74,000 fewer than the previous week and 42,000 head more than last year. Cash hog prices were lower for the fourth week. The pork cutout value was lower for the fourth consecutive week as well. Last week’s average of $95.89 was $1.04 lower. The cutout value is $2.50 higher than a year ago.
Lamb
Lamb and mutton production has been following seasonal trends, but still outpacing last year. Drought in the highest sheep population states caused ewe liquidation during the past two years, so the increase in production has been somewhat surprising. The number of market lambs coming to market usually increases beginning in late September. The supply has caused larger price swings in the market. Market lamb prices were called steady to $20/cwt higher last week at auction markets. The weighted average negotiated market lamb price last week was $174.69/cwt. That compares to $201.85/cwt a year ago. The net lamb carcass cutout value was $472.51 last Friday, compared to $470.33 the week before and $456.93 the same week a year ago. Last week’s estimated harvest of 34,000 sheep and lambs matched both the prior week and a year ago. Shorn lambs brought $158-$167.50/cwt with a few higher.
