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
The national base carcass price was 81 cents higher last week at $81.56. The cutout value was stronger as well, averaging $95.72 for a gain of $1.01. Hog weights have come down and are in line with this time last year. Harvest continues above year ago levels, however. Last week’s estimated harvest of 2.727 million head was 30,000 more than the previous week and 161,000 more than the same week last year. Forty-pound feeder pigs averaged $85.91/head with 10–12-pound pigs averaging $65.89. Pork exports totaled 233,816 metric tons in September, 2% lower than a year ago. Export value was steady at $683.9 million, highlighted by the highest value on record for Mexico. September pork export value equated to $62.29 per head harvested, down 4% from a year ago; while the January-September average was $65.17, down 1.5% from last year’s record pace. Exports accounted for 27.8% of total September pork production and 24% of muscle cuts.
Lamb
Lamb prices were steady last week, and the cutout was $7.69 higher at $522.39. This is somewhat counter cyclical as holiday needs have been met. Estimated harvest last week was 40,000 sheep and lambs, which matches both the previous week and last year, but with live wights 10 pound lighter than a year ago. Imports from Australia are 20% lower than last year while imports from New Zealand are 5% lower. September exports of U.S. lamb muscle cuts totaled 130 metric tons, up 67% from last year’s low volume but the smallest in 12 months. New crop lambs brought $215-$230/cwt.
