|Rising Cost of Pork|
|Written by Neil Billinger|
|Thursday, 13 March 2014 15:45|
Lower North American hog numbers are driving markets to record levels.
Sask Pork Chairman Florian Possberg believes the trend will continue into summer as well.
"We have record hog prices in March and typically our highest prices are in June and July. The expectations are even though we are seeing $2 a kilogram hogs now, we could very well be seeing $2.50 a kilogram hogs in the summertime."
Porcine epidemic diarrhea (PED) has driven down U.S. hog numbers. An estimated 4 million piglets have died from PED since the first reports of the disease last spring. Strict biosecurity measures are preventing the disease from gaining a foothold in Canada following an initial outbreak a few weeks ago in Ontario.
Possberg says the market upturn is needed for pork producers who have managed to weather a lengthy period of poor markets.
"From a producers point of view, we have had such a long run of very unprofitable years, it is an opportunity of a lifetime to put some equity back in our pockets."