Livestock analyst Jim Wyckoff reviews of protein information from across the globe
Weekly USDA US beef, pork export gross sales
Beef: Internet gross sales of 10,100 MT for 2024 had been down 35 p.c from the earlier week and 34 p.c from the prior 4-week common. Will increase had been primarily for China (2,100 MT, together with decreases of 100 MT), Japan (1,700 MT, together with decreases of 200 MT), Mexico (1,600 MT), South Korea (1,400 MT, together with decreases of 300 MT), and Canada (1,200 MT). Whole web gross sales of 100 MT for 2025 had been for Japan. Exports of 12,500 MT had been down 24 p.c from the earlier week and 14 p.c from the prior 4-week common. The locations had been primarily to South Korea (3,100 MT), Japan (2,600 MT), China (1,500 MT), Mexico (1,300 MT), and Taiwan (1,100 MT).
Pork: Internet gross sales of 28,000 MT for 2024 had been down 3 p.c from the earlier week and eight p.c from the prior 4-week common. Will increase had been primarily for Mexico (13,000 MT, together with decreases of 300 MT), Canada (3,300 MT, together with decreases of 700 MT), China (2,700 MT), South Korea (2,500 MT, together with decreases of 500 MT), and Colombia (1,900 MT, together with decreases of 100 MT). Exports of 27,900 MT had been down 11 p.c from the earlier week and three p.c from the prior 4-week common. The locations had been primarily to Mexico (11,800 MT), Japan (3,600 MT), China (3,000 MT), South Korea (2,000 MT), and Colombia (1,900 MT).
China to stabilize beef, dairy sectors to help farmers
China’s agriculture ministry mentioned it might stabilize beef and dairy manufacturing, shore up consumption and help farmers amid falling costs. The ministry’s plan known as for the promotion of beef and milk consumption and help for farmers by providing mortgage extensions and decreasing feed prices. The plan mentioned localities could be required to speed up the growth of herds, whereas selling larger high quality cows. Vouchers shall be used to push extra milk consumption. The ministry known as for prevention and management of illness in cow herds and mentioned extra focused help insurance policies would ultimately be rolled out for agriculture and different sectors. China’s beef costs have fallen to the bottom degree in 5 years.
USDA Pig report anticipated to indicate marginally bigger US hog herd
Analysts anticipate USDA’s Hogs & Pigs Report this afternoon to indicate the U.S. hog herd grew 0.2% from year-ago to 76.285 million head as of Sept. 1. Market hog inventories are anticipated to be up 0.4%, whereas the breeding herd is anticipated to be down 2.1%. Analysts anticipate USDA to report a 0.9% smaller summer season pig crop regardless of ongoing report litter sizes, as summer season farrowings possible declined 1.4%. Wanting ahead, analysts anticipate farmers to farrow 0.4% fewer sows throughout fall however 0.1% extra this winter. As at all times, revisions to previous information shall be key.
USDA Chilly Storage Report additionally out Thursday afternoon
USDA will element frozen meat shares on the finish of August. The five-year common is a 5.1-million-lb. improve in beef shares and a 5.3-million-lb. rise in pork shares through the month.
Colombia absolutely reopens to US beef after lifting H5N1 ban
USDA’s Meals Security and Inspection Service (FSIS) mentioned U.S. beef and beef merchandise had been not ineligible for export to Colombia as of Sept. 23. The U.S. Meat Export Federation (USMEF) confirmed that Colombia has lifted its ban on U.S. beef from states affected by H5N1 in dairy cows, restoring entry to beef from 13 states. USMEF President Dan Halstrom expressed gratitude to USDA groups and Colombian importers, emphasizing the numerous impression the ban had on commerce, with exports dropping to lower than $850,000 in July. Previous to the ban, U.S. beef exports to Colombia averaged $3 million per 30 days.
Panel recommends USDA streamline meat plant inspections with new know-how
The Nationwide Advisory Committee on Meat and Poultry Inspections (NACMPI) urged USDA to undertake new applied sciences to streamline inspections in meat and poultry vegetation. Suggestions embody offering inspectors with government-issued telephones and tablets to doc findings, permitting video chat for communication, and utilizing know-how that converts voice or handwriting into digital textual content. These measures intention to scale back inspectors’ workloads and pace up inspections. Whereas some modifications, akin to distant inspections, could scale back delays and prices for corporations, others, like video recording inside vegetation, may increase aggressive considerations.
First US hen flu outbreak in 9 weeks
Extremely pathogenic avian influenza was confirmed at a turkey farm with 62,800 turkeys in Merced County, California, the primary U.S. outbreak of hen flu in a business flock since July 19.
Impartial USDA cattle-on-feed report
USDA final Friday estimated there have been 11.198 million head of cattle in giant US feedlots (1,000-plus head) as of Sept. 1, up 71,000 head (0.6%) from final 12 months. August placements declined 1.4%, whereas marketings fell 3.6% from year-ago ranges. The entire classes had been near the typical pre-report estimates.
USDA awards $35 million to spice up US meat and poultry processing capability throughout 12 states
USDA Secretary Tom Vilsack introduced $35 million in grants to fifteen unbiased meat processors in 12 states as a part of the Meat and Poultry Processing Growth Program (MPPEP). The funding goals to extend processing capability, spur competitors, and create rural jobs. This marks the ultimate funding from the American Rescue Plan’s MPPEP, bringing whole awards to over $325 million since 2022. The initiative seeks to strengthen the meals provide chain and provide farmers extra market alternatives.
USDA goals to finalize US livestock guidelines by year-end, eyes cattle worth rule in 2025
USDA Secretary Tom Vilsack introduced plans to finalize two livestock-related guidelines by the top of 2024, aligning with the Biden administration’s regulatory objectives. The foundations handle honest livestock markets and poultry grower fee methods. In the meantime, a pre-rule on cattle worth discovery is anticipated to maneuver ahead in early 2025. Nevertheless, these efforts could face uncertainty if Donald Trump wins the 2024 election, doubtlessly altering or halting rulemakings initiated by the Biden administration.
EWG sues Tyson Meals for alleged false claims on environmental impression and sustainability
The Environmental Working Group (EWG) filed a lawsuit towards Tyson Meals, Inc., accusing the corporate of constructing false and deceptive claims about its environmental impression and sustainability efforts. The lawsuit, filed within the Superior Court docket of the District of Columbia, targets two foremost claims made by Tyson:
- The corporate’s dedication to realize net-zero greenhouse fuel emissions by 2050
- Advertising of its beef merchandise as “climate-smart”
The lawsuit argues that Tyson’s claims are unsubstantiated and deceptive to customers who’re more and more eager about buying climate-friendly meals. EWG contends that Tyson produces important volumes of climate-warming emissions at each stage of its industrial meat manufacturing course of. The environmental group claims that Tyson has no concrete plans to realize its acknowledged objectives and isn’t taking significant steps to take action.
The lawsuit alleges that regardless of Tyson’s annual revenues exceeding $53 billion, the corporate spends lower than $50 million (lower than 0.1% of its income) on greenhouse fuel discount practices. EWG claims that Tyson spends about eight instances extra on promoting than on analysis.
Tyson produces about 20% of U.S. beef, rooster, and pork. The corporate’s greenhouse fuel emissions reportedly exceed these of total international locations like Austria or Greece. Beef manufacturing is claimed to be liable for 85% of the corporate’s emissions.
The lawsuit was filed below the District of Columbia Shopper Safety Procedures Act (CPPA). EWG is being represented by a coalition of environmental and animal rights organizations. The lawsuit seeks injunctive reduction, aiming to cease Tyson from persevering with to make these environmental claims and to carry the corporate accountable for alleged violations of the CPPA.
This authorized motion is a part of a rising pattern of scrutiny over company environmental claims, also known as “greenwashing.”
Weekly USDA dairy report
CME GROUP CASH MARKETS (9/20) BUTTER: Grade AA closed at $2.9725. The weekly common for Grade AA is $3.0205 (-0.1305). CHEESE: Barrels closed at $2.5900 and 40# blocks at $2.2375. The weekly common for barrels is $2.5755 (+0.1895) and blocks $2.2670 (-0.0220). NONFAT DRY MILK: Grade A closed at $1.3800. The weekly common for Grade A is $1.3845 (-0.0075). DRY WHEY: Further grade dry whey closed at $0.5875. The weekly common for dry whey is $0.5910 (-0.0020).
BUTTER HIGHLIGHTS: Butter demand within the East is regular. Butter demand is choosing up within the Central area. For the West area, salted butter demand is regular, however unsalted butter demand varies from regular to lighter. Cream volumes are usually out there all through the nation. Nevertheless, cream volumes are comparatively tighter within the Northeast a part of the nation. Butter manufacturing varies from sturdy to regular within the West. Within the Central and East areas, butter producers convey manufacturing schedules are busier than anticipated. Butter producers counsel manufacturing paces are comfy for anticipated This fall calls for. Bulk butter overages vary from minus 5 cents to 10 cents above market, throughout all areas.
CHEESE HIGHLIGHTS: Contacts share blended cheese manufacturing all through the U.S. Cheesemakers within the East word restricted spot milk availability as Class I demand attracts upon milk volumes out there for cheese processing. Contacts word demand for a number of cheese varieties is regular to stronger. Within the Central area, contacts word plant upkeep and downtime have freed up some milk provides for processors. For the primary time in a number of weeks, spot milk costs had been reported under Class III, starting from $0.75 under to $3.50 above Class III. Cheesemakers within the area say manufacturing efforts are geared towards upcoming vacation calls for. Barrel inventories have grown sufficient to accommodate spot purchases. Within the West, cheese producers relay regular to stronger manufacturing, regardless of variable spot milk availability. Cheese inventories within the area are blended, with barrel inventories famous to be particularly tight. The CME closing worth for barrels reached a report excessive of $2.5650 on Tuesday the seventeenth and inched even larger to $2.6225 on Wednesday the 18th.
FLUID MILK HIGHLIGHTS: Farm degree milk manufacturing varies throughout the USA. Lighter manufacturing is being seen all through the Central U.S. and the Southeast the place farms are experiencing hotter temperatures which have affected cow consolation. Regular manufacturing ranges are being seen within the Northeast and Mid-Atlantic states, the place seasonally cooler temperatures have begun to maneuver in. Volumes within the West are diversified throughout the area. California is seeing weaker numbers. Farm degree milk output is regular in Arizona. Numbers are stronger in New Mexico, the Pacific Northwest and the mountain states. The value vary for spot milk has widened with a great deal of milk being reported at $0.75 below Class III as much as $3.50 over Class. Spot milk masses stay scarce, however stakeholders convey some masses might be discovered to fill wants. Class I demand is close to the seasonal peak everywhere in the nation and is affecting milk volumes which may have gone to Lessons II, III and IV. Demand for milk in these Lessons are regular to strong. Cream is usually extra out there in all areas on account of Class I spinoff. Cream demand is regular to lighter within the West whereas it barely stronger within the Central and East areas. Manufacturing of cream cheese is seeing an uptick in some areas. Demand for condensed skim is regular as availability continues to tighten. Cream multiples for all Lessons are 1.23-1.45 within the East; 1.20-1.34 within the Midwest; and 1.10-1.29 within the West.
DRY PRODUCTS HIGHLIGHTS: Dry dairy commodities stay in a usually bullish sample within the penultimate buying and selling week of the quarter. In actual fact, costs for low/medium warmth nonfat dry milk (NDM,) dry buttermilk, dry whey and whey protein focus (WPC) 34% had been regular to larger all through the nation. NDM demand is brisk, however there are notes of buyer pushback at growing costs. Dry buttermilk buying and selling exercise picked up this week, as clients are exhibiting extra curiosity in latest weeks. Availability of dry whey is tight, as mild seasonal milk provides proceed to get pulled from Class III to Class I vegetation. Lactose costs had been regular. Availability of lactose varies from lower- to higher-mesh sizes, as the previous is famous as considerably out there. Whey protein focus 34% curiosity is firming. Dry complete milk costs moved larger on continued reviews of tight availability. Acid and rennet casein costs had been regular on restricted buying and selling exercise.
ORGANIC DAIRY HIGHLIGHTS: Federal Milk Market Order 1, in New England, reviews utilization of varieties of natural milk by pool vegetation. Throughout August 2024, natural complete milk utilization totaled 18.52 million kilos, up from 18.14 million kilos the earlier 12 months. The butterfat content material, 3.28 p.c, is unchanged from a 12 months in the past. The utilization of natural lowered fats milk, 15.55 million kilos, decreased from 15.61 million kilos a 12 months in the past. The butterfat content material, 1.50 p.c, is up from 1.40 p.c the earlier 12 months.
NATIONAL RETAIL REPORT: Standard dairy advertisements elevated by 11 p.c, and natural dairy advertisements decreased by 45 p.c this week. Whole standard cheese advert numbers elevated by 10 p.c this week. Standard 6-8 ounce packages of sliced, shredded and block cheese have weighted common marketed costs of $2.56, $2.60, and $2.55, respectively. Each the sliced and shredded type cheeses made appearances in advertisements greater than twice as typically in comparison with the block type for the 6-8 ounce package deal dimension. All three kinds had worth decreases for this package deal dimension. The shredded type had the most important lower, which was 10 cents.