In the world pork market, US prices fall as China increases imports

Published 2023년 3월 28일

Tridge summary

Pork prices in the US have seen a significant decline in the past two weeks, with the CME Pork Price Index dropping 84 cents in the latest report, marking a total drop of $2.18 over the past three days. This downturn is due to an oversupply of pigs and a decrease in demand, despite a predicted increase in pork net sales and exports. The US is expected to export 38,000 tonnes of pork in 2023, with Mexico being the primary market, and pork exports totaled 30,500 tonnes in the recent week. Meanwhile, China's pork imports have surged by 35.8% in the first two months of 2023, driven by new outbreaks of African swine fever that are expected to continue pushing pork prices higher in the country.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Pork prices in the US fall The sharp drop in US pork futures prices in the past two weeks has sent the market into a state of massive selling, potentially falling to market bottoms. The latest CME Pork Price Index dropped another 84 cents, marking a $2.18 drop over the past three days. Despite the sharp decline in the futures price relative to the spot price, the April 2023 delivery futures contract is facing downward pressure, with traders anticipating a near-term decline in the spot price. Pork products are facing difficulties on both sides of supply and demand. The number of pigs slaughtered last week increased by 2.75% year-on-year, showing that the current supply of pigs is far exceeding forecasts. However, the retail price of pork is still much higher than the previous year although the value of live hog and wholesale pork has fallen sharply compared to the same period last year. Therefore, it is difficult to stimulate consumer demand when retail prices are still high. ...

Source: Vinanet