Egg Industry Statistics and Reports

 

USDA - WASDE FORECAST #564, April 11th 2017

Apr 12, 2017

    

Overview

The April 11th 2017 USDA WASDE projections for the 2016/7 corn and soybean crops reflected actual harvest data. Areas for corn and soybeans were unchanged at 86.7 million and 82.7 million acres respectively. The USDA retained corn and soybean yields to 174.6 bushels per acre and 52.1 bushels per acre. Ending stocks for corn and soybeans were projected at 2,320 million bushels (unchanged from March) and for soybeans 445 million bushels (up 0.5 percent) compared to the data in the March WASDE Report.

  

Corn

The corn harvest attained a near record of 15,148 million bushels. None of the major categories of use were appreciably changed as is normal for a post-harvest WASDE report. The projected USDA range in farm price incorporated a 30 cent per bushel spread and price was up 5 cents per bushel on the low end and down 5 cents on the high end of the range compared to the March 2017 WASDE Report, attaining 325 to 355 cents per bushel. At the close of trading on April 11th, CME quotations for May and July 2017 corn were 367 cents and 374 cents per bushel respectively suggesting that the USDA projections may be low.

The RFS for 2016 was belatedly determined to be 18.11 billion gallons by the EPA on November 30th 2015 (See Editorial in CHICK-CITE). The value was four percent higher than the May 2015 proposal of 17.4 billion gallons. It is doubtful that the incoming Administration will alter existing RFS levels given support of the Midwest agricultural sector to the election outcome and reinforced by assurances to Corn-State legislators in early January 2017. A wild card will be the influence of the incoming EPA Administrator and the Secretary of Energy, both of whom favor the oil and refining industries of their home states and both have historically opposed the RFS. Business associates of the President-elect have recently commented negatively on the system of Renewable Identification Numbers (RINs) which affect the profitability of many domestic refineries. For April, USDA raised diversion of corn to ethanol by 50 million bushels.

The prevailing but stable historically low oil price reflects a slowing of World economic activity and increased oil and gas production in North America. Supply is a function of now restricted output from Saudi Arabia, lower production from Nigeria and Venezuela, resumption of supply from Iraq and Iran, and interference by Russia in Mideast affairs. Reduced output according to an OPEC “agreement” in early December 2016 and subsequent negotiations between OPEC and Russia are all contributory factors, determining the balance between supply and demand which is important to the livestock industry as oil price is correlated to grain prices. The WTI fluctuated in a narrow range of $51 to $53 per barrel during the past month with a sharp rise in early April.

   
 

MARCH 2017 USDA EX-FARM BENCHMARK PRICE RISES BUT NEGATIVE MARGINS PERSIST.

Apr 10, 2017

    

Introduction.

Comments supplementing the production summary tables for the latest series reflecting USDA March 2017 statistics and prices made available by the EIC on April 5th 2017, are tabulated together with comparison values from the previous March 13th 2017 posting.

  

EGG-CITE summarizes weekly USDA data on egg production and prices in each edition.

March 2017 Cost and Revenue Data

The USDA reports data for six regions, respectively comprising the Northeast, South East (Mid-Atlantic), South Central, Midwest, Northwest and California (NW and California combined in some tables)

  • The USDA ex farm benchmark blended egg price in March 2017 rose 19.4 percent to 45.0 cents per dozen, compared to February yielding a negative margin of 15.2 cents per dozen as delivered from the laying house. The March 2017 value should be compared to 66.9 cents per dozen for the corresponding month in 2016 and 124.1 cents per dozen in March 2015. It is noted that from November 2014 through March 2015, prices were inflated in anticipation of implementation of California Proposition #2 effective January 1st 2015 and then at the end of this period by the seasonal pre-Easter rise. Thereafter prices responded positively to shortages caused by HPAI in the upper Midwest with a peak in August 2015.
  • During March 2017 feed price averaged 32.3 cents per dozen and averaged 32.6 cents per dozen during the first Quarter of 2017. Feed cost during 2015 averaged 34.9 cents per dozen. The average feed cost in 2014 was 43.2 cents per dozen in contrast to 2013 which was considerably higher at 50.12 cents per dozen, reflecting the drought-affected crop of 2012.
  • Combining data from the USDA and the EIC (formerly data from the University of California), producers recorded a negative margin of 15.2 cents per dozen at farm level for flocks in March compared to a negative margin of 23.5 cents per dozen in February. The cumulative loss for the first Quarter of 2017 was 50.8 cents per dozen. The algebraic average margin for 2016 was -9.6 cents per dozen with losses experienced for eight consecutive months.  Ex-farm margin for 2015 amounted to a monthly average of 74.5 cents per dozen. For 2014, average ex-farm contribution margin was 33.9 cents per dozen with all months positive.
  • The simple average price of feed for March 2017 over 5-regions was $205.75, 2.5 percent lower than February. The Southeast recorded the highest cost among five regions at $238.54 compared to the lowest region, the Midwest at $174.37 per ton. The average figure includes ingredients plus milling and delivery at approximately $10 per ton. The benchmark price of corn was $179.9 per ton in March, unchanged from February. A decrease of 3.1 percent in the price of soybean meal from $354 per ton in February to $343 per ton in March contributed to the fall in the cost of feed. There was a $71 per ton differential in corn price between the Midwest and the Southeast in March. Feed price will continue to be the major factor driving production cost and hence margin. Each $10 per ton difference in feed cost represents 1.75 cents per dozen.
  • The EIC-calculated the 6-Region total nest-run production cost in March to be 60.24 cents per dozen, 1.5 percent lower than 61.18 cents per dozen recorded in February. Production costs during March ranged from 54.63 cents per dozen in the Midwest up to 76.42 cents per dozen in California which was higher than the Midwest region by 21.2 cents per dozen. The differential in feed cost between the extremes, the Southeast and the Midwest regions was 10.1 cents per dozen in March, unchanged from February.
  • Retail egg prices as determined by the Department of Commerce for February 2017 averaged 146.4 cents per dozen, down by 8.4 percent or 13.5 cents per dozen compared to January 2016. During February 2015 and 2016 retail prices were 208.8 cents per dozen (post-CA. Prop. #2) and 226.7 cents per dozen (post-AI restocking)  During 2016 and early 2017 retail prices did not decline in proportion to ex-farm prices allowing higher margins at retail thereby depressing demand.
   
 

DECEMBER 2016 USDA EX-FARM BENCHMARK PRICE DOUBLES FROM NOVEMBER GENERATING A POSITIVE MARGIN.

Jan 13, 2017

    

 Introduction.

Comments supplementing the production summary tables for the latest series reflecting USDA December 2016 statistics and prices made available by the EIC on January 12th 2016, are tabulated together with comparison values from the previous December 8th 2016 posting.

  

EGG-CITE summarizes weekly USDA data on egg production and prices in each edition.

December 2016 Cost and Revenue Data

The USDA reports data for six regions, respectively comprising the Northeast, South East (Mid-Atlantic), South Central, Midwest, Northwest and California (NW and California combined in some tables)

  • The USDA ex farm benchmark blended egg price in December 2016 rose to 73.3 cents per dozen, 104 percent more than in November yielding a positive margin of 13.6 cents per dozen as delivered from the laying house. This is the first positive margin in eight consecutive months. The December 2016 value should be compared to 106.1 cents per dozen for the corresponding month in 2015 and 146.7 cents per dozen in December 2014. It is noted that from November 2014 through March 2015, prices were inflated in anticipation of implementation of California Proposition #2 effective January 1st 2015 and then at the end of this period by the seasonal pre-Easter rise. Thereafter prices responded positively to shortages caused by HPAI in the upper Midwest with a peak in August 2015.
  • During the first four months of 2016 there was no material change in average feed price expressed as a component of the first-cycle production cost per dozen over the five regions monitored by the USDA. During May feed cost rose 10.3 percent over April to 35.75 cents per dozen and then by an additional 3.8 percent to 37.12 cents per dozen in June. The feed component of cost fell 1.3 percent from September to 30.90 cents per dozen in October. Average feed cost for 2016 attained 32.6 cents per dozen. Feed cost during 2015 averaged 34.9 cents per dozen. The average feed cost in 2014 was 43.2 cents per dozen in contrast to 2013 which was considerably higher at 50.12 cents per dozen, reflecting the drought-affected crop of 2012.
  • Combining data from the USDA and the EIC (formerly data from the University of California), producers recorded a positive margin of 13.6 cents per dozen at farm level for flocks in December compared to a negative margin of -23.3 cents per dozen in November. The algebraic average margin for 2016 is -9.6 cents per dozen with losses experienced for eight consecutive months.  Ex-farm margin for 2015 amounted to a monthly average of 74.5 cents per dozen. For 2014, average ex-farm contribution margin was 33.9 cents per dozen with all months positive. During 2013, a monthly algebraic positive average margin of 15.3 cents per dozen was earned.
  • The simple average price of feed for December over 4-regions (no data posted for the Northeast this month) was $202.92, 1.3 percent higher than in November. The Southeast recorded the highest cost among four regions in December at $236.93 compared to the lowest region, the Midwest at $174.55 per ton. The average figure includes ingredients plus milling and delivery at approximately $10 per ton. The price of corn which increased by 2.0 percent to $150 per ton in December was a driver in the price increase. An increase of 0.7 percent in the price of soybean meal from $335 per ton in November to $338 per ton in December also contributed to the rise. There was a $68 per ton differential in corn price between the Midwest and the Southeast in December 2016. Average feed cost during 2012 was $315.80 per ton compared to $300.80 for 2013.  Average feed cost per dozen during 2014 was 43.1 cents per dozen with the prevailing price of feed of $259.10 per ton for the five regions. Feed price will continue to be the major factor driving production cost and hence margin. Each $10 per ton difference in feed cost represents 1.75 cents per dozen.
  • The EIC-calculated the 6-Region total nest-run production cost in December to be 59.73 cents per dozen, 0.8 percent higher than 59.28 cents per dozen recorded in November. Production costs during December ranged from 54.66 cents per dozen in the Midwest up to 75.32 cents per dozen in California which was higher than the Midwest region by 20.7 cents per dozen. The differential in feed cost between the extremes, the Southeast and the Midwest regions was 9.8 cents per dozen in December.
  • Retail egg prices as determined by the Department of Commerce for November averaged 132.1 cents per dozen, down by 5.0 percent or 6.9 cents per dozen compared to October. During November 2015 and 2014 retail prices were 266.4 cents per dozen (post HPAI) and 203.2 cents per dozen respectively in the run-up to implementation of California Proposition #2. Over the past ten months retail prices have not declined in proportion to ex-farm prices allowing higher margins at retail which has depressed demand.
   
 

USDA- WASDE FORECAST #560, December 9th 2016

Dec 14, 2016

    

Overview

The December 9th USDA WASDE projections for the 2016 corn and soybean crops reflected actual harvest data. Harvest areas for corn and soybeans remained at 86.8 million and 83 million acres respectively. The USDA retained corn and soybean yields at 175.3 bushels per acre and 52.5 bushels per acre. Ending stocks for corn and soybeans were unchanged at 2,403 million bushels and 480 million bushels.

  

Corn

The corn harvest attained a near record of 15,225 million bushels. None of the major categories of use were changed as is normal for the December WASDE report which reflects actual harvest. The projected USDA range in farm price incorporated a 60 cent per bushel spread and price was raised by 10 cents per bushel on the low end and by 5 cents per bushel on the high end of the range compared to the November WASDE Report, attaining 305 to 365 cents per bushel. Near close of trading on December 9th, CME quotations for December ‘16 and March ‘17 corn were 351 cents and 359 cents per bushel respectively, approximately 10 cents per bushel above 1st week November trade levels.

The RFS for 2016 was belatedly determined to be 18.11 billion gallons by the EPA on November 30th 2015 (See Editorial in CHICK-CITE). The value was four percent higher than the May 2015 proposal of 17.4 billion gallons. It is doubtful that the incoming Administration will alter existing RFS levels given support of the Midwest agricultural sector to the election outcome. A wild card will be the influence of the EPA-Director designate who favors the oil and refining industries which oppose the RFS. Business associates of the President-elect have recently commented adversely on the system of Renewable Identification Numbers (RINs) which affect the profitability of many domestic refineries. The coming year should emerge as an interesting exercise in power shifts with very little precedent to indicate future policy “as the swamp drains”

The prevailing but stable historically low oil price reflects a slowing of World economic activity and increased oil and gas production in North America. Supply is a function of unrestricted output from Saudi Arabia, lower production from Nigeria and Venezuela, resumption of supply from Iraq and Iran, and interference by Russia in Mideast affairs. Reduced output according to an OPEC “agreement” in early December are all contributory factors, determining the balance between supply and demand which is important to the livestock industry as oil price is correlated to grain prices. The WTI fluctuated between $47 and $49 per barrel during the past month but rose after the OPEC Agreement, to settle up 4 percent to $52 on December 9th.

   
 

NOVEMBER 2016 USDA EX-FARM BENCHMARK PRICE RISES 22 PERCENT

Dec 9, 2016

    

NEGATIVE MARGINS CONTINUE DESPITE LOW FEED COST

Introduction.

Comments supplementing the production summary tables for the latest series reflecting USDA October 2016 statistics and prices made available by the EIC on November 7th 2016, are tabulated together with comparison values from the previous September 8th 2016 posting.

EGG-CITE summarizes weekly USDA data on egg production and prices in each edition.

  

November 2016 Cost and Revenue Data

The USDA reports data for six regions, respectively comprising the Northeast, South East (Mid-Atlantic), South Central, Midwest, Northwest and California (NW and California combined in some tables)

  • The USDA ex farm benchmark blended egg price in November 2016 rose to 35.9 cents per dozen, 22.5 percent more than in October but still resulting in a loss of 23.3 cents per dozen as delivered from the laying house. The November 2016 value should be compared to 162.5 cents per dozen for the corresponding month in 2015 and 124.0 cents per dozen in November 2014. It is noted that from November 2014 through March 2015, prices were inflated in anticipation of implementation of California Proposition #2 in January 2015 and also at the end of this period by the seasonal pre-Easter rise. Thereafter prices responded positively to shortages caused by HPAI in the upper Midwest with a peak in August 2015.
  • During the first four months of 2016 there was no material change in average feed price expressed as a component of the first-cycle production cost per dozen over the five regions monitored by the USDA. During May feed cost rose 10.3 percent over April to 35.75 cents per dozen and then by an additional 3.8 percent to 37.12 cents per dozen in June. The feed component of cost fell 1.3 percent from September to 30.90 cents per dozen in October. Average feed cost over the first eleven months of 2016 attained 32.7 cents per dozen. Feed cost during 2015 averaged 34.9 cents per dozen. The average feed cost in 2014 was 43.2 cents per dozen in contrast to 2013 which was considerably higher at 50.12 cents per dozen, reflecting the drought-affected crop of 2012.
  • Combining data from the USDA and the EIC (formerly data from the University of California), producers recorded a negative margin of -23.3 cents per dozen at farm level for flocks in November compared to a negative margin of -29.3 cents per dozen in October. The algebraic average margin for eleven months of 2016 is -9.7 cents per dozen with losses experienced for each of the past eight months.  Ex-farm margin for 2015 amounted to a monthly average of 74.5 cents per dozen. For 2014, average ex-farm contribution margin was 33.9 cents per dozen with all months positive. During 2013, a monthly algebraic positive average margin of 15.3 cents per dozen was earned.
  • The simple average price of feed for November over 4-regions (no data posted for the Southeast this month) was $200.39, 1.8 percent higher than in October. The Northwest recorded the highest cost among four regions in November at $217.77 compared to the lowest region, the Midwest at $172.65 per ton. The average figure includes ingredients plus milling and delivery at approximately $10 per ton.  A 3.7 percent increase in the price of soybean meal from $323 per ton in October to $336 per ton in November was the driver of the cost increase. The price of corn increased by 0.8 percent to $147 per ton in November. There was a $48 per ton differential in corn price between the Midwest and the Northwest in November 2016. Average feed cost during 2012 was $315.80 per ton compared to $300.80 for 2013.  Average feed cost per dozen during 2014 was 43.1 cents per dozen with the prevailing price of feed of $259.10 per ton for the five regions. Feed price will continue to be the major factor driving production cost and hence margin. Each $10 per ton difference in feed cost represents 1.75 cents per dozen.
  • The EIC-calculated the 6-Region total nest-run production cost in November to be 59.28 cents per dozen, 1.1 percent higher than 58.64 cents per dozen recorded in October. Production costs during November ranged from 55.16 cents per dozen in the Midwest up to 74.92 cents per dozen in California which was higher than the Midwest region by 20.6 cents per dozen. The differential in feed cost between the Northwest and the Midwest regions was 8.1 cents per dozen in November.
  • Retail egg prices as determined by the Department of Commerce for October averaged 139.0 cents per dozen, down by 5.5 percent or 8.1 cents per dozen compared to September. In October 2015 and 2014 retail prices were 280.8 cents per dozen (post HPAI) and 195.1 cents per dozen respectively in the run-up to implementation of California Proposition #2. Over the past nine months retail prices have not declined in proportion to ex-farm prices allowing higher margins at retail which has depressed demand.
   
 

USDA - WASDE FORECAST #558, OCTOBER 12th 2016

Oct 14, 2016

    

Overview

The October 12th USDA WASDE projections for the 2016-17 corn and soybean crops reflected actual planting data and recent favorable crop progress reports. Harvest areas for corn was increased to 86.8 million acres but soybean acreage was unaltered. The USDA lowered corn yield by 0.6 percent to 173.4 bushels per acre but soybeans were raised by 1.5 percent to 51.4 bushels per acre. These adjustments in the October report contributed to a slight increase in ending stocks for corn to 2,320 million bushels and a bearish ending stock for soybeans of 395 million bushels.

  

Corn

The corn harvest should attain a near record of 15,057 million bushels despite a revised lower yield of 173.4 bushels per acre. The “Feed and Residual” “Food and Seed” and “Ethanol and By-products” categories were unaltered from September as documented in the subsequent table. Diversion of corn to ethanol was projected at 5,275 million bushels or 31.3 percent of the increased availability despite projections of lower U.S. fuel demand. It is evident that increased ethanol production will be exported. The corn “Exports” category was raised to 2,225 million bushels compared to the July through September WASDE Reports, presumably reflecting anticipated demand from Brazil.

This nation suffering from drought-impacted shortages has maxed-out imports from Argentina and Paraguay and is willing to receive GM-corn consignments from the U.S. despite the adverse currency exchange of 3.2 reals to the dollar. Residual corn stock was adjusted downwards from 2,384 million bushels to 2,320 million bushels. The projected USDA range in farm price incorporated a 60 cent per bushel spread and price was raised by 5 cents per bushel on either end of the range compared to the August WASDE Report, attaining 295 to 355 cents per bushel.

The RFS for 2016 was belatedly determined to be 18.11 billion gallons by the EPA on November 30th 2015 (See Editorial in CHICK-CITE). The value was four percent higher than the May 2015 proposal of 17.4 billion gallons. The prevailing but stable historically low oil price reflects a slowing of World economic activity and increased oil and gas production in North America coupled with unrestricted output from Saudi Arabia, lower production from Nigeria and Venezuela, resumption of supply from Iran, rumored collusion between that nation and Russia and reduced impact of OPEC all as contributory factors, determining the balance between supply and demand. Oil price is correlated to grain prices with WTI hovering at $50 per barrel over the past week.

At 14H00 EDT October 12th, CME quotations for December ‘16 and March ‘17 corn were 338 cents and 350 cents per bushel respectively, approximately three percent above the September values. Corn fell 6.5 cents per bushel after the noon release of the October WASDE.   

Soybeans

The area of soybeans to be harvested remained at 83.0 million acres but with a revised estimate of yield at 51.4 bushels per acre with a projected production of 4,269 million bushels. The “Beginning Stocks” category was revised upwards to 197 million bushels with a supply of 4,496 million bushels. The “Exports” category was raised by 40 million bushels to 2,025 million bushels. Ending stock for soybeans was raised to 395 million bushels due to changes in crushing and exports relative to availability.

The USDA retained the ex-farm price for soybeans as projected in September to a range of 830 cents to 980 cents per bushel. At 14H00 after the noon release of the October WASDE, CME quotations for soybeans for November ‘16 and January ‘17 delivery were 952 cents and 960 cents per bushel respectively, approximately three percent below the August values.

Production of soybean meal was unchanged at 46.275 million tons. Estimated soybean meal prices were retained by the USDA to a range of $300 to $340 per ton. At 14H00 EDT on October 12th, CME quotations for October and December 2016 soybean meal were $296 and $298 respectively, approximately seven percent less than in September.

The price projections based on CME quotations for corn and soybeans suggest stable to lower production costs for broilers and eggs.  Going forward, prices of commodities will be determined by World supply and demand and U.S. domestic use and exports.

  • For each 10 cents per bushel change in corn:-
  • The cost of egg production would change by 0.45 cent per dozen
  • The cost of broiler production would change by 0.25 cent per live pound
  • For each $10 per ton change in the cost of soybean meal:-
  • The cost of egg production would change by 0.40 cent per dozen
  • The cost of broiler production would change by 0.25 cent per live pound.
   
 

AUGUST 2016 EX-FARM MARGINS STILL NEGATIVE DESPITE LOWER FEED COST

Sep 9, 2016

    

Introduction.

Comments supplementing the production summary tables for the latest series reflecting USDA August 2016 statistics and prices made available by the EIC on September 7th 2016, are tabulated together with comparison values from the previous August 17th 2016 posting.

EGG-CITE summarizes weekly USDA data on egg production and prices in each edition.

   

August 2016 Cost and Revenue Data

The USDA reports data for six regions, respectively comprising the Northeast, South East (Mid-Atlantic), South Central, Midwest, Northwest and California (NW and California combined in some tables)

  • The USDA ex farm blended egg price in July 2016 rose to 39.8 cents per dozen, 0.1 percent less than in July. The August 2016 value should be compared to 204.5 cents per dozen for the corresponding month in 2015 and 85.0 cents per dozen in August 2014. It is noted that from November 2014 through March 2015, prices were inflated due to implementation of California Proposition #2 in January 2015 and also at the end of this period by the seasonal pre-Easter rise. Thereafter prices responded positively to shortages caused by HPAI in the upper Midwest with a peak in August.
  • During the first four months of 2016 there was no material change in average feed price expressed as a component of the first-cycle production cost per dozen over the five regions monitored by the USDA. During May feed cost rose 10.3 percent over April to 35.75 cents and then by an additional 3.8 percent to 37.12 cents per dozen in June. The feed component of cost fell 3.5 percent to 34.79 cents per dozen in August. Feed cost during 2015 averaged 34.9 cents per dozen. The average feed cost in 2014 was 43.2 cents per dozen in contrast to 2013 which was considerably higher at 50.12 cents per dozen, reflecting the drought-affected crop of 2012.
  • Combining data from the USDA and the EIC (formerly data from the University of California), producers recorded a negative margin of -20.2 cents per dozen at farm level for flocks in August compared to a negative margin of -22.1 cents per dozen in July. The algebraic average margin for the first eight months of 2016 is -55.1 cents per dozen with losses experienced for each of the past five months.  Ex-farm margin for 2015 amounted to a monthly average of 74.5 cents per dozen. For 2014, average ex-farm contribution margin was 33.9 cents per dozen with all months positive. During 2013, a monthly algebraic average margin of 15.3 cents per dozen was earned.
  • The simple average price of feed for August over the 5-regions of $204.38 was 5.3 percent lower than in July. The Southeast recorded the highest cost among regions in August at $234.27 compared to the lowest region, the Midwest at $180.06 per ton. The average figure includes ingredients plus milling and delivery at approximately $10 per ton.  A 7.3 percent decrease in the price of soybean meal from $405 per ton in July to $376 per ton in August was a co-driver of the cost decrease. The price of corn decreased 4.9 percent to $144 per ton in August. There was a $58.93 per ton differential in corn price between the Midwest and the Southeast in August 2016. Average feed cost during 2012 was $315.80 per ton compared to $300.80 for 2013.  Average feed cost per dozen during 2014 was 43.1 cents per dozen with the prevailing price of feed of $259.10 per ton for the five regions. Feed price will continue to be the major factor driving production cost and hence margin. Each $10 per ton difference in feed cost represents 1.75 cents per dozen.
  • The EIC-calculated the 6-Region total nest-run production cost in August to be 59.99 cents per dozen, 3.3 percent lower than 62.03 cents per dozen in July. Production costs during August ranged from 55.65 cents per dozen in the Midwest up to 75.60 cents per dozen in California which was higher than the Midwest region by 19.95 cents per dozen. The differential in feed cost between the Southeast and the Midwest regions was 9.7 cents per dozen in August.
  • Retail egg prices as determined by the Department of Commerce for July averaged 154.6 cents per dozen, up by 3.7 percent or 5.5 cents per dozen compared to June. In July 2015 and 2014 retail prices were 257.0 and 190.8 cents per dozen respectively. Over the past five months retail prices have not declined in proportion to ex-farm prices allowing higher margins at retail which depresses demand.
   
 

JUNE 2016 EX-FARM MARGINS DETERIORATE FURTHER ON  HIGHER FEED COST

Jul 15, 2016

    

NATIONAL FLOCK STATIC AT 302 MILLION

Introduction

Comments supplementing the production summary tables for the latest series reflecting USDA May-June 2016 statistics and prices made available by the EIC on July 12th 2016 are tabulated together with comparison values from the previous June 9th 2016 posting, as amended.  EGG-CITE also details USDA data on egg production and prices each week.

   
   
 

USDA- WASDE FORECAST #555, July 12th 2016

Jul 13, 2016

    

Overview

The July 12th USDA WASDE projections for the 2016-17 corn and soybean crops reflected actual  planting data and recent crop progress reports. Harvest areas for corn and soybeans were raised by 1 percent and 2.3 percent respectively to 86.6 million acres and 83.0 million acres.

  

Corn

The corn harvest should attain a near record of 14,540 million bushels based on a yield of 168.0 bushels per acre. The “Feed and Residual” category was established to be 5,550 million bushels but the “Food and Seed” category was raised 5 million bushels as documented in the subsequent tables. Diversion of corn to ethanol was projected at 5,295 million bushels or 32.4 percent of the increased availability despite projections of lower U.S. fuel demand. It is evident that increased ethanol production will be exported. The corn “Exports” category was increased by 5.1 percent to 2,050 million bushels compared to the June WASDE Report. Residual corn stock was adjusted to 2,081 million bushels. The projected USDA range in farm price retained the 60 cent per bushel spread but decreased price by 10 cents per bushel on either end of the range compared to the June WASDE Report, attaining 310 to 370 cents per bushel.

The RFS for 2016 was belatedly determined to be 18.11 billion gallons by the EPA on November 30th 2015 (See Editorial in CHICK-CITE). The value was 4 percent higher than the May 2015 proposal of 17.4 billion gallons. The prevailing low oil price reflects a slowing of World economic activity and increased oil and gas production in North America coupled with unrestricted output from Saudi Arabia, lower production from Nigeria and Venezuela, resumption of supply from Iran, reduced impact of OPEC as contributory factors determining the balance between supply and demand.

At the close of trading on July 12th, CME quotations for July and September 2016 corn were 353 cents and 352 cents per bushel respectively, approximately 17 percent below the June values.

Soybeans                                                               

The area of soybeans to be harvested increased by 2.3 percent to 83.0 million acres, with a yield of 46.7 bushels per acre and a projected production of 3,880 million bushels. The “Beginning Stocks” category was revised down to 350 million bushels with a supply of 4,260 million bushels. The “Exports” category was lowered by 70 million bushels to 1,920 million bushels. Ending stock for soybeans was projected to be 290 million bushels due to changes in crushing and exports relative to availability. The USDA retained the ex-farm price for soybeans as projected in June to a range to 875 cents to 1,025 cents per bushel. At the close of trading on June 12th CME quotations for soybeans for July and September delivery were 1,107 cents and 1,182 cents per bushel respectively, approximately 6.3 percent below the June values.

Production of soybean meal was projected to be 45.675 million tons. Estimated soybean meal prices were raised $5 per ton in July to a range of $325 to $365 per ton. At the close of trading on July 12th, CME quotations for July and September 2016 soybean meal were $378 and $377 respectively, approximately 6.2 percent less than in June.

The price projections based on CME quotations for corn and soybeans suggest stable production costs for broilers and eggs.  Going forward, prices of commodities will be determined by World supply and demand and U.S. domestic use and exports.

  • For each 10 cents per bushel change in corn:-
  • The cost of egg production would change by 0.45 cent per dozen
  • The cost of broiler production would change by 0.25 cent per live pound
  • For each $10 per ton change in the cost of soybean meal:-
  • The cost of egg production would change by 0.40 cent per dozen
  • The cost of broiler production would change by 0.25 cent per live pound.
   
 

MARCH 2016 MARGINS PLUMMET ON LOWER EX-FARM PRICES

Apr 15, 2016

    

NATIONAL FLOCK UP TO 299 MILLION

HEN DEFICIT FROM HPAI NARROWING.

Introduction.

Comments supplementing the production summary tables for the latest series reflecting February- USDA and March 2016 statistics and prices made available by the EIC on April 12th 2016 are tabulated together with comparison values from the previous March 9th 2016 posting.  EGG-CITE also details USDA data on egg production and prices each week.

  

Disease.

No outbreaks of avian influenza have been reported in commercial poultry flocks since mid-January 2016. The disease remains a major concern to the Industry which has yet to recover completely from the 2015 epornitic of H5N2 which claimed 38.5 million hens and 3.5 million pullets on 46 layer farms, representing 12 percent of all hens in flocks over 30,000 birds and 6 percent of rearing pullets.

During early January 2016 a sporadic but limited outbreak of H7N8 avian influenza was diagnosed in ten turkey growing flocks in DuBois County, IN. One farm was diagnosed with a highly pathogenic H7N8 the other nine farms, identified by surveillance, were infected with a low-pathogenicity strain of the virus. Rapid response by state and federal authorities applying the lessons learned in the 2015 epornitic resulted in rapid control and a declaration of eradication by mid-February. No additional infected flocks were identified on either commercial or backyard farms despite diligent surveillance over a 20 km radius from the index farm.

Surveillance of approximately 37,000 waterfowl has yielded a 10 percent rate of recovery of all serotypes of avian influenza virus including a 1 percent prevalence of low-pathogenicity H5 isolates from all four flyways. Two high-pathogenicity influenza viruses from hunter-killed mallards in Utah and Oregon were recovered in 2015.

    

To support contract operations in India supplying organic and cage-free eggs, Herbrucks Poultry Ranch of Saranac, MI. has announced that it intends to erect a feed mill and service center in Topeka, IN.  The location is in the North-central region of the state between Fort Wayne and South Bend in an area with a high number of existing and potentially available contract growers.

  

Herbrucks proposes to erect a 20,000 square foot facility which will include a feed mill and a service depot similar to the facility in Berlin, MI. to allow for decontamination and storage of equipment and personnel.

Greg Herbruck, Vice President of Herbruck Poultry Ranch stated “logistic advantage, high-quality workforce, ease to do business and proximity to customers make this decision very easy for us.  Our relationship with the town of Topeka and LaGrange County will play a role in future expansion projects for our company as well.” 

Herbruck’s Poultry Ranch is a third generation company producing generic, enriched specialty and USDA Certified organic eggs distributed in the Midwest with McDonald’s Corporation and Meijer’s Supermarkets among major customers.

   
 

FEBRUARY 2016 MARGINS FRACTIONALLY HIGHER THAN JANUARY.

Mar 9, 2016

    

NATIONAL FLOCK UP TO 291 MILLION BUT DEFICIT FROM HPAI PERSISTS.

Introduction

Comments supplementing the production summary tables for the latest series reflecting January and February 2016 statistics and prices made available by the EIC on March 4th 2016 are tabulated together with comparison values from the previous February 23rd 2016 posting on EGG-CITE which also details USDA data on egg production and prices each week.

  

Disease.

Avian influenza remains a major concern to the Industry which has yet to recover from the 2015 epornitic of H5N2 which claimed 38.5 million hens and 3.5 million pullets on 46 layer farms representing 12 percent of all hens in flocks over 30,000 birds and 6 percent of rearing pullets. During early January 2016 a sporadic but limited outbreak of H7N8 avian influenza was diagnosed in ten turkey growing flocks in DuBois County, IN. One farm was diagnosed with a highly pathogenic H7N8 the other nine farms, identified by surveillance were infected with a low-pathogenicity strain of the virus. Rapid response by state and federal authorities applying the lessons learned in the 2015 epornitic resulted in rapid control and a declaration of eradication by mid-February. No additional infected flocks were identified on either commercial or backyard farms despite diligent surveillance over a 20 km radius from the index farm.

Surveillance of approximately 37,000 waterfowl has yielded a 10 percent rate of recovery of all serotypes of avian influenza virus including a 1 percent prevalence of low-pathogenicity H5 isolates. Two high-pathogenicity influenza viruses from hunter-killed mallards in Utah and Oregon were recovered in 2015.

France has recorded over 60 cases of H5 AI in the southwest region of the nation mostly involving commercial waterfowl held for foie gras production.

   
 

USDA - WASDE FORECAST #549, January 12th 2015

Jan 15, 2016
    

The January USDA WASDE projections for the 2015 corn and soybean crops were lowered by 0.4 percent and 1.3 percent respectively. Ending stocks were up by 1.0 percent to 1,802 million bushels for corn and down 5.3 percent to 440 million bushels for soybeans.

The corn harvest was reduced to 13,601 million bushels based on a 0.9 percent reduction in yield to 168.4 bushels per acre. Area harvested remained at 80.7 million acres bushels. The “Feed and Residual”, “Food and Seed” and the “Ethanol and By-products (DDGS)” categories were only slightly changed as documented in the subsequent tables. Diversion of corn to ethanol was estimated at 5,200 million bushels or 33.8 percent of the projected availability despite projections of lower U.S. fuel demand. The increase in “Ending Stocks” by 17 million bushels was partly attributed to a 50 million bushel decline in the “Exports” category. The Stock-to-Domestic Use relationship increased numerically to 15.8 percent, from 15.0 percent in the November WASDE Report. The projected USDA farm price for corn was lowered by 5 cents per bushel on both ends of the range in the November WASDE Report to 330 to 390 cents per bushel.

The RFS for 2016 was set at 18.11 billion gallons by the EPA on November 30th. (See Editorial in CHICK-CITE). The value was 4 percent higher than the May 2015 proposal of 17.4 billion gallons. The supply of ethanol exceeds the U.S. demand by about 7 percent, based on a 10 percent blend rate, resulting in export of this commodity. Crude (WTI) oil fluctuated from $30 to $35 per barrel in December but is hovering at $30 per barrel in mid-January, despite the actions of OPEC and other producers. The prevailing low oil price reflects a slowing of World economic activity and increased oil and gas production in North America and unrestricted output from Saudi Arabia as factors determining the balance between supply and demand. It is noteworthy that China has displaced the U.S. as the largest importer of crude oil.

   
 

DECEMBER MARGIN FALLS ON LOWER PRICES -

Jan 15, 2016
    

NATIONAL FLOCK UP 2 MILLION BUT IMPACT FROM HPAI PERSISTS

Comments supplementing the production summary tables for the latest series reflecting December statistics and prices made available by the EIC on January 11th 2016 are tabulated together with comparison values from the December 8th posting on EGG-CITE.

EGG-CITE documents USDA data on weekly egg production and prices each week following  recovery from HPAI outbreaks which impacted flocks in Iowa, Nebraska, Wisconsin and Minnesota, producing mainly for the egg-liquid segment of the Industry. During early September an isolated case of low-pathogenicity H5N2 AI was diagnosed in a backyard multi-species flock including 2,500 mallards. No further commercial-farm cases have been diagnosed.  Surveillance of approximately 24,000 southward migrating waterfowl has yielded H5 isolates from only two hunter-killed mallards in Utah and Oregon respectively. A survey of over 8,000 migratory waterfowl in the Atlantic Flyway revealed a small proportion of H5 and H7 isolates, all of low pathogenicity. In contrast cases of HPAI have been recorded in Germany and France and a low-path case in Scotland suggesting a repeat of the sporadic outbreaks during the early Winter months of 2014. 

As of July 17th 2015 the USDA-APHIS documented the loss of approximately 38.5 million hens and 3.5 million pullets in 46 cases on layer farms representing 12 percent of all hens in flocks over 30,000 birds and 6 percent of rearing pullets. The loss was disproportionate in the egg-breaking segment of the industry with a current estimate of 25 percent of the supply flock depleted by late June, principally in large in-line breaking complexes. Decontamination has been completed and restoration of production has commenced. States with confirmed HPAI cases in large (over 300,000 hen) egg-producing flocks included Iowa (7 complexes); Nebraska (5) Minnesota (3) and South Dakota (1).

   
 

USDA - WASDE FORECAST #548, December 9th 2015

Dec 11, 2015
    

The December USDA WASDE projections for corn and soybeans were essentially unchanged with respect to production and utilization, consistent with completion of the 2015 harvest.

The area of corn harvested was retained at 80.7 million acres with a yield of 169.3 bushels per acre contributing to a crop of 13,654 million bushels, unchanged from the November WASDE Report representing the third-largest corn harvest ever. Ending stocks were increased by 25 million bushels to 1,785 million bushels. The “Feed and Residual”, “Food and Seed”, “Ethanol and By-products (DDGS)” and the “Export” categories were only slightly changed as documented in the subsequent tables. Diversion of corn to ethanol was increased to 5,200 million bushels or 33.7 percent of the projected availability due to projections of higher fuel demand. The Stock-to-Domestic Use relationship increased numerically to 15.0 percent, from 14.8 percent in the November WASDE Report, based on a higher ending stock increased by 25 m bushels to 1,785 m bushels. The projected USDA farm price for corn was unchanged from the November WASDE values at a range of 335 to 395 cents per bushel.

 

   
 

NOVEMBER MARGIN RISES ON INCREASE IN PRICES -

Dec 9, 2015
    

NATIONAL FLOCK UP 3 MILLION BUT EFFECTS FROM HPAI PERSIST

Comments supplementing the production summary tables for the latest series reflecting September statistics and prices made available by the EIC on December 7th 2015 are tabulated together with comparison values from the November 11th posting on EGG-CITE.

EGG-CITE documents USDA data on weekly egg production and prices each week following  recovery from HPAI outbreaks which impacted flocks in Iowa, Nebraska, Wisconsin and Minnesota, producing mainly for the egg-liquid segment of the Industry. During early September an isolated case of low-pathogenicity H5N2 AI was diagnosed in a backyard multi-species flock including 2,500 mallards. No further commercial-farm cases have been diagnosed.  Surveillance of approximately 24,000 southward migrating waterfowl has yielded H5 isolates from only two hunter-killed mallards in Utah and Oregon respectively. In contrast cases of HPAI have been recorded in Germany and France suggesting a repeat of the sporadic outbreaks during the early Winter months of 2014. 

As of July 17th 2015 the USDA-APHIS documented the loss of approximately 38.5 million hens and 3.5 million pullets in 46 cases on layer farms representing 12 percent of all hens in flocks over 30,000 birds and 6 percent of rearing pullets. The loss was disproportionate in the egg-breaking segment of the industry with an estimated 33 percent of the supply flock no longer in production, principally in large in-line breaking complexes. Decontamination has progressed and restoration of production has commenced. States with confirmed cases in large (over 300,000 hen) egg-producing flocks comprised Iowa (7 complexes); Nebraska (5) Minnesota (3) and South Dakota (1).

   
 

OCTOBER MARGIN DECLINES ON REDUCED PRICES -

Nov 13, 2015
    

CONTINUED EFFECT FROM HPAI LOSSES STILL APPARENT

Comments supplementing the production summary tables for the latest series reflecting September statistics and prices made available by the EIC on November 10th 2015 are tabulated together with comparison values from the October 9th posting on EGG-CITE.

EGG-CITE documents USDA data on weekly egg production and prices each week concurrent with the recovery from HPAI outbreaks which impacted flocks in Iowa, Nebraska, Wisconsin and Minnesota, producing mainly for the egg-liquid segment of the Industry. During early September an isolated case of low-pathogenicity H5N2 AI was diagnosed in a backyard multi-species flock with 2,500 mallards. No further cases have been diagnosed and surveillance of southward migrating waterfowl has not yielded any H5 isolates.

As of July 17th 2015 the USDA-APHIS documented the loss of approximately 38.5 million hens and 3.5 million pullets in 46 cases on layer farms representing 12 percent of all hens in flocks over 30,000 birds and 6 percent of rearing pullets. The loss was disproportionate in the egg-breaking segment of the industry with an estimated 33 percent of the supply flock no longer in production, principally in large in-line breaking complexes. Decontamination has progressed and restoration of production has commenced. States with confirmed cases in large (over 300,000 hen) egg-producing flocks comprised Iowa (7 complexes); Nebraska (5) Minnesota (3) and South Dakota (1).

The USDA reports data for six regions, respectively comprising the Northeast, South East (Mid-Atlantic), South Central, Midwest, Northwest and California (NW and California combined in some tables)

   
 

SEPTEMBER MARGIN DECLINES ON REDUCED PRICES - CONTINUED BENEFIT FROM HPAI

Oct 9, 2015
    

Comments supplementing the production summary tables for the latest series reflecting September statistics and prices made available by the EIC on October 9th 2015 are tabulated together with comparison values from the September 3rd posting on EGG-CITE.

EGG-CITE documents USDA data on weekly egg production and prices each week concurrent with the recovery from HPAI outbreaks which impacted flocks in Iowa, Nebraska, Wisconsin and Minnesota, producing mainly for the egg-liquid segment of the Industry. During early September an isolated case of low-pathogenicity H5N2 AI was diagnosed in a backyard multi-species flock with 2,500 mallards.

As of July 17th 2015 the USDA-APHIS documented the loss of approximately 38.5 million hens and 3.5 million pullets in 46 cases on layer farms representing 12 percent of all hens in flocks over 30,000 birds and 6 percent of rearing pullets. The loss was disproportionate in the egg-breaking segment of the industry with an estimated 33 percent of the supply flock no longer in production, principally in large in-line breaking complexes. Decontamination has progressed and restoration of production has commenced. States with confirmed cases in large (over 300,000 hen) egg-producing flocks comprised Iowa (7 complexes); Nebraska (5) Minnesota (3) and South Dakota (1).

   
 

Egg and Product Export Data for January -July 2015.

Sep 16, 2015
    

USDA-FAS data as collated by USAPEEC, reflecting export volume and values for shell eggs and egg products are shown in the table below comparing January-July 2015 with the first seven months of 2014:-

U.S. EGG EXPORTS, JANUARY-JULY 2015 COMPARED WITH CORRESPONDING MONTHS IN 2014

    PRODUCT

Jan.-July 2014

Jan.-July 2015

   Difference

Shell Eggs

 

 

 

Volume (m. dozen)

  97.7

  93.3

   - 4.4    (+  4.5%)

Value ($ million)

106.7

117.1

+  10.4    (+ 9.7%)

Unit Value ($/dozen)

  1.09

  1.26

+  0.17    (+ 8.9%)   

Egg Products

 

 

 

Volume (metric tons)

 31,755

 23,195

 -8,560    (- 27.0%)

Value ($ million)

   83.2

   67.6

 -  18.8    (- 22.5%)

Unit Value ($/metric ton)

   2,620

  2,914

 +  294    (+11.2%)


Source USDA-FAS/USAPEEC

   
 

AUGUST MARGIN REFLECTS DISPARITY BETWEEN DEMAND AND SUPPLY IMPACTED BY HPAI

Sep 4, 2015
    

Comments supplementing the production summary tables for the latest series reflecting August statistics and prices made available by the EIC on September 3rd 2015 are tabulated together with comparison values from the August 7th posting on EGG-CITE.

EGG-CITE documents USDA data on weekly egg production and prices each week concurrent with the recovery from HPAI outbreaks which impacted flocks in Iowa, Nebraska, Wisconsin and Minnesota, producing mainly for the egg-liquid segment of the Industry.

As of July 17th 2015 the USDA-APHIS documented the loss of approximately 38.5 million hens and 3.5 million pullets in 46 cases on layer farms representing 12 percent of all hens in flocks over 30,000 birds and 6 percent of rearing pullets. The loss was disproportionate in the egg-liquid segment of the industry with an estimated 33 percent of the supply flock no longer in production, principally in large in-line breaking complexes. States with confirmed cases in large (over 300,000 hen) egg-producing flocks comprised Iowa (7 complexes); Nebraska (5) Minnesota (3) and South Dakota (1).

The USDA reports data for six regions, respectively comprising the Northeast, South East (Mid-Atlantic), South Central, Midwest, Northwest and California (NW and California combined in some tables)

 

   
 

JULY MARGINS HOLD FOLLOWING MIDWEST FLOCK DEPLETIONS

Aug 12, 2015
    

Comments supplementing the production summary tables for the latest series reflecting June and July statistics and prices made available by the EIC on August 7th 2015 are tabulated together with comparison values from the July 15th posting on EGG-CITE.

EGG-CITE has reported on USDA data documenting egg prices each week concurrent with the recovery from outbreaks which impacted flocks in Iowa, Nebraska, Wisconsin and Minnesota, producing mainly for the egg-liquid segment of the Industry.

As of July 17th 2015 the USDA-APHIS documented the loss of approximately 38 million hens and 3 million pullets representing 12 percent of all hens in flocks over 30,000 birds and 6 percent of rearing pullets. The loss has been disproportionate in the egg-liquid segment of the industry with an estimated 33 percent of the supply flock no longer in production, principally in large in-line breaking complexes. States with confirmed cases in large (over 300,000 hen) egg-producing flocks comprised Iowa (7 complexes); Nebraska (5) Minnesota (3) and South Dakota (1)

The USDA reports data for six regions, respectively comprising the Northeast, South East (Mid-Atlantic), South Central, Midwest, Northwest and California (NW and California combined in some tables)

   
 

JUNE MARGINS SOAR FOLLOWING MIDWEST FLOCK DEPLETIONS

Jul 17, 2015
    

Due to pressure of work associated with the onset of H5N2 Highly Pathogenic Avian Influenza in late April, the Egg Industry Center was unable to circulate a report in May covering USDA data for April. Comments supplementing the production summary tables for the latest series reflecting May and June statistics and prices made available by the EIC on July 15th 2015 are tabulated together with comparison values from the June 5th posting on EGG-CITE.

It is emphasized that due to the rapidly moving situation and continuing losses through mid-June, the USDA figures for May and June, as applicable may not represent the relevant numbers of hens in production nor the prices obtained for products. The current report however will serve as a basis from which comparisons can be made in subsequent months. EGG-CITE has reported on USDA data documenting egg prices each week concurrent with outbreaks impacting flocks in Iowa, Nebraska, Wisconsin and Minnesota, producing mainly for the egg-liquid segment of the Industry.

   
 

APRIL MARGINS HIGH IN FACE OF ONSET OF HPAI OUTBREAK

Jun 8, 2015
    

Due to pressure of work associated with the onset of H5N2 Highly Pathogenic Avian Influenza in late April the Egg Industry Center was unable to circulate a report in May covering USDA data for April.

Comments supplementing the production summary tables for the latest series made available by the EIC on June 5th 2015 are tabulated together with comparison values from the March postings.

It is emphasized that due to the rapidly moving situation and continuing losses, the USDA figures for May do not represent the current numbers of hens in production nor the prices obtained for products. The current report however will serve as a basis from which comparisons can be made in subsequent months. EGG-CITE has reported on USDA data documenting egg prices each week concurrent with outbreaks impacting flocks in Iowa, Nebraska, Wisconsin and Minnesota, producing mainly for the egg-liquid segment of the Industry.

As of June 4th 2015 the USDA-APHIS documented the loss of approximately 38 million hens and 3 million pullets representing 12 percent of all hens in flocks over 30,000 birds and 6 percent of rearing pullets. The loss has been disproportionate in the egg-liquid segment of the industry with an estimated 33 percent of the supply flock dead or euthanized, principally in large in-line breaking complexes.   States with confirmed cases in egg-producing flocks comprised Iowa (7 premises); Nebraska (5) Minnesota (3) and South Dakota (1)

The USDA reports data for six regions, respectively comprising the Northeast, South East (Mid-Atlantic), South Central, Midwest, Northwest and California (NW and California combined in some tables)

   
 

Export Data for January-March 2015

May 12, 2015
     

USDA-FAS data as collated by USAPEEC, reflecting export volume and values for shell eggs and egg products are shown in the table below comparing January-March 2015 with the first three months of 2014:-

                             

U.S. EGG EXPORTS, JANUARY- March 2015 COMPARED WITH
CORRESPONDING MONTHS IN 2014

    PRODUCT

Jan.-March. 2014

Jan.March. 2015

   Difference

Shell Eggs

 

 

 

Volume (m. dozen)

 34.8

 45.9

+  11.1    (+31.9%)

Value ($ million)

$37.2

$52.2

+$15.0    (+40.3%)

Unit Value ($/dozen)

 $1.07

$1.13

+ $0.06   (+  5.6%)   

Egg Products

 

 

 

Volume (metric tons)

 14,145

 12,976

 -1,169     ( - 8.3%)

Value ($ million)

$ 38.3

$ 36.1

 -$2.2       (- 5.7%)

Unit Value ($/metric ton)

$2,708

$2,782

 +$74       (+2.67%)


Source USDA-FAS/USAPEEC

 

   
 

Average Retail Cost of High-Quality Protein Foods

Nov 3, 2014

October’s Economic Research Service (ERS) update highlights eggs as the least expensive source of high-quality protein per standard USDA serving. The average price of eggs per dozen increased by 3 cents, resulting in eggs providing 35.3 grams of protein per dollar spent. Simultaneously, milk prices rose by 2 cents per gallon, leaving milk at only 34.8 grams of protein per dollar spent.

In looking at other top protein foods, the average prices of beef round roast, ground beef, chicken and pork chop rose by 32 cents, 21 cents, 4 cents and 14 cents per pound, respectively. These fluctuations left the rankings of these foods’ protein contents per dollar spent unchanged from last month.

 

Average Retail Cost of High Quality Protein Foods, Updated October 22, 2014

Complete Protein Food Avg. Cost1 Serving
Size
Cost per Serving Calories per serving2
(
kcal)

Protein per serving
(g)

Grams Protein 
Per Dollar Spent

(g/$1)

Eggs, Grade A large

$1.97/doz.  1 egg $0.16  72 6.0 38

Milk, Reduced fat, 2% milkfat

$3.73/gal.3 8 oz. $0.23 122 8.0 35

Chicken Breast, Skinless (boneless)

$3.48/lb.4 3 oz. $0.65  97 18.0 28

Ground Beef, 90% lean meat

$5.83/lb.  3 oz. $1.09 150 17.0 16

Pork Chop, (boneless)

$4.50/lb.  3 oz. $0.84 123 17.5 21

Beef Round Roast, USDA Choice (boneless)

$5.58/lb.  3 oz. $1.05 166 17.5 17

 

   
 

Trends in U.S. Egg Production and Consumption

May 30, 2014
    

During the period 2011 through (forecast) 2015, production of shell eggs has increased on average by 7.2 billion dozen or 1.2 billion dozen per annum.  Per capita consumption increased by nine eggs or 3.6 percent.  The increase in production represents approximately 1.3 billion dozen per annum over the five year period.  Given a consuming population of 320 million this approximates an annual increment of four eggs per capita.  This closely corresponds to the 3.6 eggs per capita tabulated by the USDA.  The differential is in all probability due to exports currently representing 4 to 5 percent of production.

Growth in per capita consumption increased sharply in 2014 and will stabilize in 2015 at 256 eggs per capita.  This is attributed to improved earnings potential which reflects in greater consumption The increase is also due in part to high prices for competitive proteins and expansion in the food service segment with special emphasis on breakfast menus in quick service restaurants. Exports especially to Mexico as a result of outbreaks of avian influenza have also contributed to demand.

   
 

Average Retail Cost of High-Quality Protein Foods

Mar 17, 2014
    

The American Egg Board has released comparisons of the average cost and protein content of eggs in comparison to meat and dairy foods.

Eggs provide the largest quantity of protein per dollar at 35 grams per $1.00
as compared to a serving of beef round roast at 20g per $1.00.

Among the protein-rich foods, eggs supplied the least calories among the comparisons.

These figures illustrated in the table and figures below confirm the value of eggs and justify inclusion in daily diets for U.S. consumers. The AEB are to be complemented on compiling and promoting the comparisons for the benefit of consumers in a time of economic stringerncy.

 

   
 

World Broiler Exports

Jan 7, 2014

Based on USDA Foreign Agriculture Service projections for 2014, Brazil will be the largest exporter of broiler meat with 3.76 million metric tons of diverse products, representing 29% of total production.  The U.S. has been displaced as the major exporter with a projected volume of 3.432 million metric tons or 20% of output.  Approximately 95% of U.S. exports comprise leg quarters.

   
 

International Grains Council Report

Oct 5, 2012

The International Grains Council (IGC) Grain Market Report #426 released on September 28th 2012, documents the projected world supply for corn and soybeans. Despite a temporary decline in cost for corn and soybeans the intermediate outlook is for continued high demand relative to supply which will exert upward pressure on commodity prices.

The IGC predicts a 12% decline in stocks of corn at the end of the current harvest. Year-over-year production of corn worldwide will be reduced by 5%. There may be a moderating effect on price resulting from reduced demand.

Soybean production is expected to be supported by output from Latin America, although ending stocks will be reduced by 5% year-over-year.

   
 

Egg Industry Center issues 29-Year Summary of Data

Jul 30, 2012

The Egg Industry Center has prepared a database for table egg data which is available from Maro Ibaraburu of the Egg Industry Center.  Data was assembled and tabulated by Don Bell, Poultry Poultry Extension Specialist (Emeritus).

The 66-page document includes tables relating to:-

  • Chick production
  • Pullet placements
  • Flock size
  • Hen slaughter
  • Molting
  • Flock egg production
  • Retail egg prices
  • Ex-farm revenue
  • Production costs
  • Cost of corn, soybean meal and feed
  • Details of regional production and deficiencies
  • Producer income minus costs
   
 

Egg Exports 2011

Jan 23, 2012

Data released by the USDA-FAS for the period January through November 2011 documents the volume and value of U.S. egg exports.

For the 11-month period, 74.201 million dozen shell eggs were shipped with an aggregate value of $68 million corresponding to a unit value of 91.6 cents per dozen. Of the total 85% was shipped to the traditional top importers comprising Hong Kong, the EU-27, the UAE and Japan.

   
 

FDA Report on Antibiotic Sales

Nov 21, 2011

The FDA has published a report on antibiotic sales for 2010.  The document was finalized on October 31st 2011 and contains updates and corrections to the previous incorrect version.

In accordance with Section 105 of the Animal Drug User Fee Amendment Act of 2008 and amended Section 512 of the Federal Food Drug and Cosmetic Act, manufacturers of antibiotics are required to submit annual reports to the FDA documenting the amounts of each ingredient sold, distributed or exported for use in food producing animals.  The summary report does not delineate each class of antibiotic as to species.