USDA has released the March 2014 Quarterly Hogs & Pigs report. It, by most accounts, shows more inventory than the trade expected. However, the figures reported do show an impact from PED-V. This impact is, simply put, not as dramatic as the price rise has been in lean hog futures. The futures are still looking forward to what most expect to be a short market ready supply of hogs in April, May, June, and July. The following is excerpted from USDA's March 28, 2014 Quarterly Hogs & Pigs report.
United States Hog Inventory Down 3 Percent
United States inventory of all hogs and pigs on March 1, 2014 was 62.9 million head. This was down 3 percent from March 1, 2013, and down 5 percent from December 1, 2013.
Quarterly Hogs and Pigs Inventory – United States: March 1
Breeding inventory, at 5.85 million head, was up slightly from last year, and up 2 percent from the previous quarter. Market hog inventory, at 57.0 million head, was down 4 percent from last year, and down 5 percent from last quarter.
The December 2013-February 2014 pig crop, at 27.3 million head, was down 3 percent from 2013. Sows farrowing during this period totaled 2.87 million head, up 3 percent from 2013. The sows farrowed during this quarter represented 50 percent of the breeding herd. The average pigs saved per litter was 9.53 for the December-February period, compared to 10.08 last year. Pigs saved per litter by size of operation ranged from 7.70 for operations with 1-99 hogs and pigs to 9.60 for operations with more than 5,000 hogs and pigs.
Quarterly Litter Rate - United States
United States hog producers intend to have 2.88 million sows farrow during the March-May 2014 quarter, up 2 percent from the actual farrowings during the same period in 2013, but down 2 percent from 2012. Intended farrowings for June-August 2014, at 2.96 million sows, are up 2 percent from 2013, and up 1 percent from 2012.
The total number of hogs under contract owned by operations with over 5,000 head, but raised by contractees, accounted for 48 percent of the total United States hog inventory, up from 47 percent last year.