August 30

8/30 – Both the hog slaughter pace and carcass weights are lagging prior years. Pork supplies are tight, and prices are historically high, especially on products requiring the most further processing due to ongoing labor issues. July pork production was 13.6% below a year ago and 7.3% lower than in July 2019. Pork in cold storage on Aug 1 was 3.8% below a year ago and 20.2% lower than the 5-yr average. The pork carcass cut-out value for August was 67% above a year ago and 44% higher than in 2019. Pork belly freezer inventory on Aug 1 was 34.5% lower than a year ago. Belly prices in August were 83% above a year ago and 40% higher than 2019. Backrib prices are 55% above a year ago and 106% higher than in 2019. In the August WASDE report, the USDA projected pork output to be down 1.7% in 2021 (from 2020) but to recover some of that (+1.2%) next year.