U.S. Cattle & Hogs Production Update – Dec ’15
According to USDA, U.S. commercial red meat production totaled 4.03 billion pounds in Nov ’15, down 3.4% MOM on a daily average basis from the 4.31 billion pounds produced in Oct ’15 but up 7.3% YOY from the 3.76 billion pounds produced in Nov ’14. YOY gains in total red meat production continue to be driven higher by increases in pork production, although beef production also increased on a YOY basis throughout Nov ’15. ’14-’15 annual U.S. red meat production finished up 0.2% YOY despite a 4.2% YOY decline in beef production. ’15-’16 YTD U.S. red meat production has increased an additional 3.4% YOY throughout the first two months of the production season. Pork – Production Remains Higher on YOY Basis for 12th Consecutive Month Nov ’15 U.S. pork production of 2.08 billion pounds declined seasonally by 0.9% MOM on a daily average basis but finished up 10.1% YOY. YOY pork production has finished higher for 12 consecutive months, with total production up 7.1% in total over the period. Nov ’15 total hogs slaughtered increased 10.8% YOY, however average weights/head declined 0.3% YOY. ’14-’15 annual U.S. pork production finished up 5.2% YOY, which was a seven year high on a percentage basis. ’15-’16 YTD U.S. pork production is up an additional 5.9% YOY throughout the first two months of the production season. Beef – Production Increases YOY for Only the Second Time in the Past 23 Months Nov ’15 U.S. beef production of 1.93 billion pounds declined seasonally by 6.0% MOM on a daily average basis but finished 4.6% higher YOY. Nov ’15 average weights/head increased 2.2% YOY while the total number of cattle slaughtered increased by 2.1% YOY. Beef production had declined YOY over 21 of the past 22 months prior to the most recent gain, with total production down 4.7% over the period. Despite the YOY gain, Nov ’15 beef production remained at the second lowest figure experienced within the month of November over the past ten years. ’14-’15 annual U.S. beef production finished down 4.2% YOY however ’15-’16 YTD U.S. beef production is up 1.0% YOY through the first two months of the production season.