Oversupply Of Hogs Creating Downturn In Prices

Nov 14, 2018

Pork producers in western Canada have been seeing a recent downturn in forward hog contract prices.

Tyler Fulton is the director of risk management with Hams Marketing Services.

"We're just under a bit of pressure early this week," he said. "It might be coming from the fact that we're looking at record pork supplies. Consistently, it looks like we're going to be dealing with 2.6 million hogs being slaughtered in the U.S. on average probably most of the weeks between now and the end of the year and that's putting some pressure on prices."

He notes the oversupply of hogs is also resulting in weaker U.S. cash prices.

Fulton adds there is still some uncertainty surrounding African swine fever and the spread of the disease in China.

Source : Discoverestevan

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