June 10, 2011

2011 US beef production to rise while pork and poultry rates fall
 

Beef production in 2011 is expected to increase while pork and poultry production rates fall, as compared to last month.

Large cattle placements and larger cow slaughter, due in part to drought in the Southern Plains, is reflected in an increase in the beef production forecast. However, forecasts for pork and poultry are reduced from last month as higher forecast grain prices are expected to trim hog weight gains and put additional pressure on broiler producers.

For 2012, meat production forecasts are reduced as higher feed prices are expected to slow feedlot placements as producers keep cattle on forage longer.

Export forecasts for red meat and poultry are raised from last month. Beef exports for 2011 are forecast higher on strength in a number of markets and expected improvements in exports to Mexico. Beef and turkey exports are raised for 2012. Cattle and broiler prices for 2011 are lowered from last month on weaker-than-expected demand but hog prices are unchanged.