AH1N1 still affecting US pig producers

Twenty five to thirty three percent of US hog producers are still impacted by the AH1N1 flu, originally called the "swine flu," with the US pork industry potentially losing up to US$400 million in the next few months due to lower market prices.

According to the Congressional Research Service states that "reduced demand for pork could have adverse ripple effects throughout the hog sector, resulting in production changes as producers respond to lower prices." Hog producers may choose to curtail planned farrowing and/or decrease their demand for weaned feeder pigs; or they may choose to liquidate or reduce herd sizes, if lower prices result in low/negative meat-to-feed profit margins, it said.

Neil Dierks, chief executive officer of the National Pork Producers Council said pork producers are already losing money before the flu outbreak. Just as when the industry is looking forward to the grilling season, the AH1N1 misnomer has doubled pork producers' losses.