Tags: Hogs Surge to 24-Year High on Bets US Pork Exports to Soar

Hogs Surge to 24-Year High on Bets US Pork Exports to Soar

Thursday, 27 Jan 2011 01:47 PM

Hog futures surged to the highest price in at least 24 years on signs that Asian demand for U.S. pork exports will surge as foot-and-mouth disease decimates South Korea’s livestock.

The worst outbreak of foot-and-mouth disease in Asia for at least 50 years may get more severe as Lunar New Year holidays starting Feb. 2 spark a surge in travel, threatening to spread the virus, said Juan Lubroth, the chief veterinary officer at the United Nations’ Food and Agricultural Organization in Rome. Before today, hog prices gained 31 percent in the past year.

“Growing export demand is helping support the market, particularly with South Korea having liquidated about 25 percent of the breeding herd due to foot-and-mouth disease,” said Don Roose, the president of U.S. Commodities Inc. in West Des Moines, Iowa.

Hog futures for April settlement rose 0.875 cent, or 1 percent, to 91 cents a pound at 10:36 a.m. on the Chicago Mercantile Exchange. Earlier, the price reached 91.15 cents, the highest for a most-active contract since at least April 1986.

South Korea’s Ministry of Strategy and Finance said this week that import tariffs will be removed on frozen pork through June to help stabilize local prices. The Korea Meat Import Association said pork purchases from overseas may rise as much as 20 percent this year. South Korea was the sixth-biggest buyer of the meat from the U.S. in 2009.

Cattle futures for April delivery fell 0.9 cent, or 0.8 percent, to $1.11375 a pound. Before today, the commodity climbed 26 percent in the past year.

© Copyright 2017 Bloomberg News. All rights reserved.

1Like our page
2Share
Markets
Hog futures surged to the highest price in at least 24 years on signs that Asian demand for U.S. pork exports will surge as foot-and-mouth disease decimates South Korea s livestock.The worst outbreak of foot-and-mouth disease in Asia for at least 50 years may get more...
Hogs Surge to 24-Year High on Bets US Pork Exports to Soar
258
2011-47-27
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved