April 7, 2018

US' largest March pig herd in 30 years

The US pig herd as of March 1 stood at 72.9 million head, 3% higher than in March 2017, according to the latest quarterly report from the US Department of Agriculture.

This figure, as noted by AHDB Pork, is the largest March pig herd on record since 1988.

The total number of pigs available for slaughter was also 3% higher year-on-year at 66.7 million head. Similarly, the breeding herd was up 2% compared with March 2017, at 6.2 million head.

The rise in the number of pigs on farm in the US in March is partly due to relatively strong margins at the beginning of the year because of lower feed costs, combined with a rise in packing capacity. Packer competition for pigs helped support lean pig prices at the start of the year, according to the latest North American Agribusiness Review by Rabobank, as reported by AHDB Pork.

However, it was pointed out, US hog prices to date have fallen by around 15% since the start of 2018 and are now possibly around break-even levels for some. Despite this, in the period March to May, producers reportedly intend to farrow 3.08 million sows, 2% more than during the same period last year.