The US National Pork Board is worried about pig production costs from 2008 onwards.
The NPB fears that the increased demand to corn as a result of ethanol legislation will increase maize prices, and eventually US pig prices too.
Steve Meyer of Paragon Economics said that the roughly $1.50 per bushel increase in maize prices in recent months has increased pig production by roughly $20 for each 115 kg market pig.
It is predominantly 2008 onwards the NPB and Meyer are concerned about, as a large majority of the pigs, to be harvested in 2007 is already available – as are the sows that will breed them.
The NPB will discuss the emerging ‘food vs fuel’ issue at its first meeting of 2007, to be held January 11-12 in Tucson, Arizona. Anyone wishing to attend the meeting should contact Lorraine Garner at +1 (515) 223 2600.
Related web sites:
â€¢ National Pork Board