Driven by higher estimates for pork, the China total meat import forecasts were revised up for both 2020 and 2021, according to the USDA Livestock and Poultry World Markets and Trade report.
China has suspended imports from an OK Foods poultry plant in Fort Smith, Arkansas, because of coronavirus cases among workers, the USA Poultry & Egg Export Council said on Tuesday.
Cattle futures closed mostly higher for the third consecutive trading session Friday. According to Pro Farmer, August live cattle settled unchanged, while deferred contracts posted modest price gains Friday.
Brazilian labor prosecutors are suing meatpacker JBS SA seeking damages and better work conditions after an outbreak of the novel coronavirus at a meat plant in Ipumirim, in the southern state of Santa Catarina.
CoBank estimates meat supplies at grocery stores could shrink nearly 30% by Memorial Day, leading to prices rising by as much as 20%. Some cattle producers say they are barely hanging on due to futures prices.
The latest shock to the industry is the daily boxed beef price. On Thursday, it hit a record of $364.62. That is a jump of $30 over Wednesday, a two-thirds increase from the lows in February.
U.S. hog and live cattle futures eased on Wednesday, with the cash market for the animals weak as processing plants were forced to shut down due to the coronavirus outbreak, traders said.
The cattle market has been dynamic over the last couple of weeks. Consumers have been hoarding meat due to COVID-19 while the futures and cash prices are not necessarily reflecting it.
