Jim Long, President-CEO, Genesus Inc.
US Packers Capacity
Last Thursday the US sent a new record day for hog marketing of 455,000 head per day. This reflects not only hog supply, but also the recent start-ups of the new Coldwater Michigan and Sioux City Iowa harvesting plants. For months we heard and read about these new plants, but now we see they are reality; as they ramp up, we expect to see new record daily marketing’s several times.
The extra capacity should support producers and the hog prices they receive. The competition these new plants will bring to the market place should help keep lean hog prices in the US, 53-54% lean hog, over 55c lb this fall.
Vegetarians are losers
Vegetarians are losing the battle to influence the consumption pattern of US consumers. Meat is supreme. Let’s look at USDA statistics and projections (table 1)
The USDA is projecting record Red Meat and Poultry per capita disappearance American consumers vote with their money, they vote to eat meat. We are fortunate to be in an industry of increasing demand. It shows if people have the money and the meat is available consumption can be increased.
We believe from what we see in our world travel, that the same situation in most if not all countries. People want meat, they like meat, they will pay for meat. The small minority that are vegetarians, are just that, a small minority. We can’t let the minority opinion dictate the social opinion. Humans have eaten meat for centuries, we are on top of the food chain.
It’s a good idea to stay there, is ours and what appears to be the opinion of most consumers, who continue to want more and more meat. As mankind life expectancy increases, top of ever greater meat per capita is a key factor to health and happiness.
This post was written by Genesus