Written Commentary
LIVESTOCK AM OUTLOOK
Beef export net sales were 23,000, and that is a good number. South Korea was biggest buyer with Japan following China only took 600MT and cancelled 1100MT. In 2021 China was a big buyer of US beef even before they halted purchases of beef from Brazil from September through December. They were also buying more beef from Russia. China need beef to fill surge in new storage. With Brazil back to selling as of the beginning of January 2022 and as China continues to buy beef from Russia, don’t look for buying US beef to be at levels of 2021.
Pork exports disappointing with 18,300 metric tons. But exports can’t increase with less pork. Hog weights have been steadily going down at the same time hog slaughter is low. Not only is the US have fewer hogs but it has less meat by the weight to sell. Pork and hog prices moving higher is the most basic and simple law of supply and demand.
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