Farrow-to-finish hog producers realized their largest week-over-week drop (-14%) for the week ending Oct. 3 since the third week of June. Sterling’s estimated average margin for the week was still $69.30/head.
The estimated pork packer/processor margin was $6.93/head compared to $2.95 the prior week. Consequently, the $3/cwt. drop in the cutout was offset by a $5/cwt. drop in the average W. Cornbelt lean carcass value last week.
Plant utilization was boosted to 98% from 95% with an additional 72,000 hogs estimated in last week’s kill.
View the full Sterling Pork Profit Tracker for the week ending Oct. 4
The Beef and Pork Profit Trackers are calculated by Sterling Marketing, Vale, Ore.
(Note: The Sterling Beef Profit Tracker calculates an average beef cutout value for the week in its estimates for feedyard and packer margins. Other prices in the weekly Profit Tracker also are calculated weekly averages. Feedyard margins are calculated on a cash basis only with no adjustment for risk management practices. The Beef and Pork Profit Trackers are intended only as a benchmark for the average cash costs of feeding cattle and hogs. Sterling Marketing is a private, independent beef and pork consulting firm not associated with any packing company or livestock feeding enterprise.)
