March 4

3/4 – In last week’s cold storage report, the USDA said that total beef supplies in freezers at the end of January were down 11% from a year ago; pork supplies were down 10%; and chicken down 7%. Meat demand remains strong, while producers have yet to ramp up production. In February’s WASDE report, the USDA projected a 2.9% drop in beef production for 2024, coming on top of a 4.7% decline in 2023. The USDA also reduced its pork 2024 production forecast from 2.4% to 2.1% above last year. And 2024 broiler output is projected up just 0.8% this year on top of an even slimmer 0.4% gain in 2023. Meat supplies, which had recovered in 2022, dipped again in 2023 to tight Covid-level inventories. Of note: year over year supplies of pork ribs were down 23%, pork butts down 18%, and boneless hams 11% lower. In chicken, leg quarters supplies were down 19%, wings down 16%, and breast meat 2% lower.