U.S. Cattle & Hogs Production Update – Sep ’15
According to USDA, U.S. commercial red meat production totaled 3.90 billion pounds in Aug ’15, down 3.4% MOM on a daily average basis from the 4.04 billion pounds produced in Jul ’15 but up 2.8% YOY from the 3.79 billion pounds produced in Aug ’14. YOY production was driven higher by a significant increase in pork production, while beef production remained below the previous year. Despite the YOY gain, ’14-’15 YTD annual U.S. red meat production remains down 0.1% YOY through the first 11 months of the production season. ’13-’14 annual U.S. red meat production finished down 2.8% YOY, which was the largest YOY annual percentage decline in ten years. Pork – Production Remains Significantly Higher on YOY Basis Aug ’15 U.S. pork production of 1.95 billion pounds declined 1.2% MOM on a daily average basis but remained higher YOY, finishing 11.2% above the previous year. Pork production has remained higher on a YOY basis for nine consecutive months, with total production up 7.2% in total over the period. Aug ’15 total hogs slaughtered increased 13.0% YOY, however average weights/head declined 1.4% YOY. ’14-’15 YTD U.S. pork production is up 4.9% YOY through the first 11 months of the production season. Beef – YOY Production Declines for 20th Consecutive Month Aug ’15 U.S. beef production of 1.93 billion pounds declined 4.4% YOY and 5.5% MOM on a daily average basis to a 24 year low for the month of August. Aug ’15 average weights/head increased 2.6% YOY, however total cattle slaughtered declined by 7.1% YOY. Monthly beef production has declined YOY for 20 consecutive months, finishing 5.1% lower on average over the period.’14-’15 YTD U.S. beef production is down 4.7% YOY through the first 11 months of the production season.