Source:  Rita Jane Gabbett, MEATINGPLACE.COM, 7/9/10

USDA raised its 2010 forecast for commercial red meat production slightly to 48.2 billion pounds from 47.9 billion a month ago and lowered its average cattle and hog price forecasts slightly as demand remains relatively weak in the face of higher output.  

In its monthly World Agricultural Supply and Demand report, USDA noted cow slaughter remains relatively high, boosting beef production in 2010. Higher forecast mid-year cattle placements are also expected to boost steer and heifer slaughter later in the year and into early 2011.

Pork production is forecast higher for 2010 based on increased slaughter and heavier dressed weights; mainly during the second quarter.

USDA decreased its 2010 average steer price estimate to a range of $92 to $95 per hundredweight from last month’s range of $92 to $96.  Similarly, it put the 2010 average price for barrows and gilts in a range of $54 to $56 down from a range of $54 to $56 last month.    

Broiler production is forecast higher for 2010 and 2011. Hatchery data point toward continued growth in bird numbers and weights have been moving up. With broiler exports expected to rise as Russia begins buying again, USDA raised its 2010 broiler price estimate to a range of 83 cents to 85 cents per pound from a range of 82 cents to 85 cents last month. 

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