Breeding inventory, at 5.86 million head, was up 1 percent from last year, and up 1 percent from the previous quarter. Market hog inventory, at 60.0 million head, was up 1 percent from last year, and up 1 percent from last quarter.
The March-May 2012 pig crop, at 29.4 million head, was up 1 percent from 2011. Sows farrowing during this period totaled 2.92 million head, up slightly from 2011. The sows farrowed during this quarter represented 50 percent of the breeding herd. The average pigs saved per litter was a record high 10.09 for the March-May period, compared to 10.03 last year. Pigs saved per litter by size of operation ranged from 7.50 for operations with 1-99 hogs and pigs to 10.20 for operations with more than 5,000 hogs and pigs.
Pork producers intend to have 2.90 million sows farrow during the June-August 2012 quarter, down 1 percent from the actual farrowings during the same period in 2011, and down 1 percent from 2010. Intended farrowings for September-November 2012, at 2.89 million sows, are down 1 percent from 2011, but up slightly from 2010.
Higher corn prices over last two weeks is further squeezing projected hog producer margins for 4Q and into 2013.
Break-even prices north of $85 and current hog futures prices for October and December point to projected losses of $16 or more per animal, says Shane Ellis, agricultural economist at Iowa State University.
Futures prices around 79c-80c/pound for December indicate producers who didn't hedge feed costs will have deep losses unless corn prices decline or demand for hogs increases significantly, he says.
Download file: hgpg0612.pdf
Size: 283.629 KB (Kilobytes)
Created: 06/29/2012 02:06 PM
Last Modified: 06/29/2012 02:06 PMClick here
to download this file.