By Dan Vaught, Doane Agriculture Services
The latest pork export news held mixed implications for current U.S. pork demand. The October sales total at 410.25 million pounds continued the recent pattern of significantly exceeding comparable year-ago and 10-year average results, topping the former by 27 million and exceeding the latter by 31.3 million pounds. However, the size of the increase from September was comparatively modest. The 6.7 million-pound monthly rise fell far short of the 38.5 million September-October surge averaged over the past 10 years.
Sales to mainland China also disappointed, with the 21.95 million pound total being the smallest since March. However, October exports to Hong Kong (and likely transshipment to the mainland) reached 19.43 million pounds, thereby bringing the combined total up to 41.38 million. That’s the largest result for that statistic since March 2014. We still believe U.S. pork exports will prove generally robust during the weeks and months ahead, although it does not look as if China will buy as aggressively as bulls have hoped.
Read more at www.PorkNetwork.com.