Pork producers told the USDA in the June Hogs and Pigs Survey that they’d increased the size of the breeding herd by 1 percent over last year. The increase first began in the fall of 2014 after profits rose due to reduced production.
Chris Hurt of the Purdue Extension Service said the industry has slowly expanded ever since. Low feed prices also helped producers expand the herd up until this spring when feed prices began to rise again.
The report also found more young pigs than expected, with the spring pig crop 2.5 percent larger due to more farrowing and more pigs per litter. This means pork supplies later this year will be a bit higher than expected.
Looking ahead to the rest of the year, two questions will affect upcoming pork exports. How much will China purchase and how long will their shortage continue in the country? Also, the exit of Britain from the European Union has dropped the Euro in relation to the dollar, making U.S. pork more expensive overseas.