By Jamie Martin
The latest USDA Hogs and Pigs Report shows a rise in total hog inventory across the country, suggesting bearish market conditions.
As of June 1, the total hog and pig inventory reached 75.1 million head. This number is up by one percent, or 390,000 head, from the previous quarter. It is the highest total since June 2020.
While the overall hog numbers increased, the breeding herd saw a decline. The number of pigs retained for breeding dropped to the lowest level in a decade. This signals caution from producers who may be responding to economic pressures or planning for future market trends.
Despite the bearish outlook from higher inventory levels, there is some positive news. Pork demand remains strong, with pork being a more affordable option than high-priced beef. This has helped support market prices and reduce the impact of the supply increase.
Retail prices have reflected this trend. For example, pork chops were down around four percent during the 4th of July season. This decline in retail prices may offer consumers a break during the summer grilling months.
“If we take a look at like our 4th of July cookout survey, we had pork chops down around four percent,” noted the report.
Moving forward, if pork demand continues to rise, prices could stabilize or increase, leading to more competition between meat protein sources.
Photo Credit: usda
Categories: National