High hog prices in US set to fade

US record high prices for lean hogs are set to fade as record retail prices and renewed economic worries impact consumer demand for pork, says Purdue University economist Chris Hurt.

Earlier this month, retail pork prices had been forecasted to hit a record high of about US$3.10 per pound, up from US$2.92 a pound in April, as retailers, who have been absorbing rises in wholesale prices, exploit the summer barbecue season.

Hurt predicts the impact of lower pork demand on hog markets would be to cut the price of live animals to about US$50 a hundredweight by the last quarter, reducing the 2010 average to US$54 a hundredweight.