The COVID quarter, one of the worst quarters in global history, ends today and initial ideas are that second quarter GDP is estimated to have fallen by 32.9%, according to Provimi market analyst Dave Bauer. The U.S. also had the largest one-day sale of corn ever this past week to China at 1.9 metric tons, or approximately 76 million bushel. Pork exports sales this week were just under 40,000 metric tons, up 24% over last week and up 12% versus the four-week average. Of course, China led those purchases with 45% of the total, followed by Mexico, taking 40%. For the first time in a few weeks, actual shipments did slow down 12% versus last week and 3% below the prior four-week average, but still a strong number of 31,500 metric tons.
On the topic of slaughter plants, it was a tough start to the week. Mechanical and labor issues reduce the estimated kill by 22,000 head on Monday. But the rest of this week found its stride and the estimate for a 2.5 plus million head kill is again expected. Kill floors are maintaining a weekly run of roughly 93% of capacity, but now processing floors need to get out of the mid to upper 80% range and up to match the kill floor run rates. The challenge to get employees back to work are real and plants are doing all they can to create safe work environments.
And what's the word on forward profitability? Take a listen and find out.
These are uncertain times and it will pay dividends to be well-prepared. If you have questions on this week’s recap or want to discuss something not covered, feel free to ASK DAVE at David_Bauer@cargill.com. Plan today for tomorrow’s success.
Follow Feedstuffs Precision Pork on your favorite podcast platform or find it on www.Feedstuffs.com and www.NationalHogFarmer.comThese are uncertain times and it will pay dividends to be well-prepared. If you have questions on this week’s recap or want to discuss something not covered, feel free to ASK DAVE at David_Bauer@cargill.com. Plan today for tomorrow’s success.