Current events suggest changes in the Pork industry in regards to international trade. Costs of production are also projected to rise. Chris Hurt published an article at farmdoc daily that helps put some numbers in perspective: http://farmdocdaily.illinois.edu/2018/04/pork-tariffs-sour-industry-outlook.html
A few highlights:
“Energy costs are expected to rise…forecasting a nine percent rise for on-road diesel prices this year and a seven percent rise in retail gasoline prices.”
“The U.S. sold China 525 million pounds of pork in 2017 worth $1.1 billion. This was nine percent of our total export volume last year.”
“While China bought two percent of U.S. production in 2017, Mexico purchased seven percent and Canada an additional two percent. ”
“Several forces are driving costs higher, but feed is the primary culprit.”
Hurt, C. “Weekly Outlook: Pork Tariffs Sour Industry Outlook.” farmdoc daily (8):57, Department of Agricultural and Consumer Economics, University of Illinois at Urbana-Champaign, April 2, 2018.
Permalink: http://farmdocdaily.illinois.edu/2018/04/pork-tariffs-sour-industry-outlook.html