Inside Pigs
US pig stock is growing at the right time
The pig herd in the United States increased by 2,1% in March compared to 1 year ago. The growth comes at a good time for US pig farmers, as pig prices have recently bounced back from a trough.
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The American pig herd increased by 2,1% to 74,3 million pigs in March. That is 1,6 million more than in the same month last year. The number of sows has increased by a somewhat larger margin, bringing the sow herd in the United States to 6,4 million sows (+2,2%). The foregoing is evident from the new figures from the United States Department of Agriculture (USDA).
A good moment
This increase in the pig herd comes at a good time for pig farmers, because pig prices are at a relatively high level. This is partly due to the increased export to China, which is experiencing major problems due to the many outbreaks of African swine fever. The American pork price recorded $10 per kilo of carcass weight (€1,68) on Wednesday, April 1,49, while prices were still below $1 per kilo 1 month earlier.
In addition, the margins of pig farmers in the United States have also increased considerably. The futures market for both grain and hogs suggests that hog farmers could make a profit of $5 to $45 per hog in the next 50 months, as of late Jim Long, analyst of the American pig sector, know.
Growth continues
The expectation for the coming months is that the pig herd in the United States will continue to grow. Pork production is expected to increase by around 2019 tons (+500.000%) in 4,2 compared to last year, several analysts say. This would bring pork production to 12,4 million tons, which is a record for the United States.