SEW prices and pig supply

This week I was with 2 different clients who were in the weaned pig market. Both were looking to sell excess pigs from sow units in which they are invested. Both reported the best bid they could get from several brokers was $32/pig. Several reasons were given from the sharp drop in the spot price for weaned pigs in the past 2 months. These include pricing formulas are now based on the October and December lean hog contract on the Chicago Board, uncertainties about how feed grain prices and an apparent abundance of weaned pigs available. Read More...

The smell of money

While there has been almost no field work done in Southern Minnesota this spring, in my travels the past few weeks, I’ve seen corn planted in Illinois and today as far north as Humboldt, Iowa. Along with corn planting, many producers are also trying to squeeze in some manure hauling and land application of this product. Read More...

Pork production costs

I don’t think that many of us involved in the swine industry as advisors, contract growers, etc. really appreciate the new financing needs of the swine industry as we use $7 corn and $360 soybean meal, etc. This really came home to me today as I was working on a project regarding management changes to address high feed prices. Read More...

Regional Prices

If you followed regional market prices this past week, you should have noted that the eastern cornbelt price quote was generally higher than the western cornbelt or Iowa/Minnesota quote. The Friday 1:30 report this past week quoted the Eastern cornbelt weighted averagecarcass base price at $92.46, while the Iowa/Minnesota weighted average was $89.39 and the western cornbelt average was $88.88. This is opposite the historic average where the western cornbelt and Iowa/Minnesota quotes are generally $1-3 higher than the eastern cornbelt. Read More...

Pork production continues to migrate back to its roots in the Midwest corn belt. As many readers of this blog are aware, I track changes in the structure of the US industry by tracking what % of the total US inventory for the breeding herd and the kept for market herd is in each of the major swine producing states. Read More...