Pork Profit Maximizer – Food Service Edition
June 24, 2019
The supply of pork coming to market on a weekly basis so far in June has been far higher than anyone could imagine even a month ago. Note that the chart shows a rolling four week moving average. Last week, pork production was up 16.4% compared to a year ago and in the two weeks prior production was up 10.8% and 8.4%, respectively. This means that in the last three weeks weekly pork production has averaged about 55 million pounds higher than it was a year ago. While exports are better than they were last year, they are nowhere close to absorbing this additional supply. Weekly USDA pork export data shows that exports of fresh/ frozen pork are currently running about 7 million pounds/wk higher than last year. This represents just 12% of the additional supply of pork that has come to market in the last few weeks, it is an even smaller share of the 74 million additional pounds that packers produced last week.