USDA Ag Outlook Forum: Solid meat demand needs to continue to counter bigger supplies
by Jim Wyckoff, The Pig Site
22 February 2021
USDA reported this week at its annual Ag Outlook forum that total US red meat and poultry production in 2020 increased to a record 106.5 billion pounds, despite facing unprecedented challenges due to the global COVID-19 pandemic.
Pork and broiler production increased in 2020; however, beef production was virtually unchanged while lamb and turkey production was estimated lower. For 2021, total red meat and poultry production is forecast to increase about 1 percent to 107.6 billion pounds driven primarily by record production of beef, pork, and broiler meat. Turkey production is expected to continue to decrease with production growth late in the year tempered by rising feed costs.
In 2020, livestock and broiler prices were lower, reflecting reduced packer demand in the second quarter of the year. Nonetheless, prices did rebound in the second half of the year but averaged lower than 2019 prices on an annual basis. For 2021, growth in demand is expected to support higher livestock and poultry prices, despite expected increases in production.
Feed outlook 2021 ?expect higher prices ...