Pork producers are continually making decisions on production and marketing which includes price risk management. Outside forces can call for rapid changes. An export market disruption could dictate a change in marketing strategies. A disease outbreak could dictate a change in production practices. In both cases, producers need the most reliable information upon which to base decisions.
Producers may consult with two veterinarians for input on disease control―think of this as getting second opinion on a medical issue. The veterinarians likely make recommendations based on research and available products from pharmaceutical companies.
Producers may subscribe to multiple market advisory services. Where do these services get data on future volumes of hogs coming to market? Generally, it’s from head counts collected and compiled by USDA’s National Agricultural Statistics Service. NASS releases those data to all market participants in Hogs and Pigs reports.
Few substitutes exist for USDA hog inventory data
Substitutability refers to the degree to which one good or service can replace another. Some examples include coffee for tea, bound books for electronic books and eyeglasses for contact lenses. Substitutability can also exist in sources of market information. Factors influencing substitutability include availability and reliability of alternatives and costs to switch.
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