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Canadian Hog Sector Task Force Receives Stamp of Approval

Canadian Pork Industry Bracing for Squeeze

By , Farms.com

The Canadian Pork Council’s request for the creation of a task force has met approval. The Council was pushing for a task force to examine Canada’s swine industry and discuss what measures can be put into place to help pig farmers manage the expected rough period with the potential for major losses.

The Council sent a delegation of representatives to speak to the Federal Agriculture Minister Gerry Ritz to discuss the make-up of the representation of the task force. The council was pleased with the positive response from the Minister and has requested that the task force include council representatives from the department of agriculture and the Minister’s office. The council also requested that the task group remain small so that the representatives can meet before the end of August.

The goal of the task force is to write a report outlining their key observations and recommendations to the Minister by the end of August 2012. The pork industry is deeply concerned about the forecast for December corn futures noting that they have risen by 50 per cent over the last two months alone, while feeder pigs have droped by 50 per cent – A huge dilemma moving forward.

"Every province is going through significant economic challenge right now in the industry," says Rick Bergmann, Vice-Chair Manitoba Pork Council. ”The bottom line is the feed scarcity, the drought conditions in the Midwest have really put a very negative spin on where we are right now."


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Will the 2025 USDA December Crop Report Be a Market Mover/Surprise?

Video: Will the 2025 USDA December Crop Report Be a Market Mover/Surprise?


Historically, the USDA December crop report is a non-event or another dud report as the USDA reserves any final supply changes to the final report in January of the following year in this case 2026. But after the longest U.S. government shutdown in history at 43 days and no October crop report will they provide more data/surprise and make an exception?
Our China U.S. soybean purchase tracker is now at 26.6% or a total of 3.2 mmt but for traders it’s taking too long to unfold.
The final Stats Canada production report was bearish canola and wheat projection a record crop in both (it adds to the global glut of supplies) and bullish local corn and soybean prices in Ontario/Quebec thanks to a drought. It will not help the fund flow short-term, the USDA may need to offset it?
A U.S. Fed interest rate cut of another 25-basis point next Wednesday (probability 87.1%) could help fund flow and sentiment in stock and ag commodities into year end.
More inflows into Bitcoin this past week saw prices rebound back above 90,000 with support at 82,000 and resistance at 96,000.
A V-shaped bottom in cattle suggest the lows are in after Mexico reported another new world screwworm case. Lower weights, seasonal demand and higher U.S. beef select/choice values with a continued closure of the Mexican border to cattle will result in a resumption of higher cattle futures into yearend.
Australia is expected to produce its 3rd largest wheat crop ever at 36 mmt adding to the global glut of supplies.
Reports of ASF in hogs in Spain the largest pork exporter in Europe could see the U.S. win more pork export business long-term.
If the rains verify into next week of 3-5 inches for Brazil it would go a long way to fixing the dry regions from the last 2-months, but the European weather model has been wrong for the past 2-months!
Natural gas futures are surging to the 3rd price count as frigid hold temps set in.
CDN $ is also surging to end the week on a very resilient economy and better employment numbers suggesting no interest rate cuts next week.
Finally, the CFTC report showed funds were net buyers of soybeans but sellers of corn, canola and wheat. In real time the funds have gone back to selling as they take some profits.