January 7, 2008

US hog imports from Canada rise 12 percent in 2007 to record high
 

Live swine imports from Canada for 2007 set a record high and beat the 2006 figure by about 12.3 percent, based on the US Department of Agriculture's weekly data released on Friday (January 4, 2008).

The USDA data showed a total of 9.815 million head of hogs and pigs were shipped across the border from Canada last year through the week ended Dec. 29. The increase from the previous year was 1.073 million head, of which about 594,000 were feeder pigs and 471,000 were barrows and gilts for slaughter. The balance of the increase was in sows and boars, most of which go directly to slaughter.

Market analysts and livestock brokers said high feed costs and a strong Canadian dollar versus a weak US dollar are causing heavy losses for Canadian producers. That is resulting in more feeder pigs being shipped to the US for finishing and slaughter.

Imports of feeder and slaughter cattle are up as well, and the percentage gain from 2006 is actually higher than for hogs but the total head count is smaller. The USDA's data show the total for all cattle at 1.342 million head, up from the nearly 1.026 million head reported for 2006. The biggest gain was in feeder cattle, which increased by about 218,000 head.

The economic factors of higher feed costs, unfavorable exchange rates for Canadian producers along with allowing older animals to enter the US contributed to the increase in cattle imports, analysts said.