Agribusiness Weekly Update: Egg prices down

The Agribusiness Weekly Update, compiled from various sources by The City Wire staff, is presented each Tuesday. Sources include the U.S.Department of Agriculture, U.S. Meat Export Federation, and Stephens Inc.

Statistics are for the week ended Feb. 7, 2012, compared to the prior-year period.

Chicken
The chicken processing margin averaged 3 cents a pound, 12-cents better than a year ago. Broiler egg sets were down 4.6% to 194.5 million eggs. USDA reported breast meat prices averaged $1.18 per pound, up 10 cents from a year ago. But recent oversupply had breast meat trading on the spot market just under $1 per pound last week.

Table Eggs
The egg margin averaged 27 cents per dozen, 9 cents below last year. Southeast
egg prices were just below $1 per dozen, down 10 cents from a year ago.

Grains
Cash corn prices finished the week down 6 cents to $6.44 per bushel, while soybeans rose 17 cents to $12.16. The USDA’s monthly World Agricultural Supply and Demand Estimates will be released Thursday (Feb.9).

Beef
U.S. beef packers lost $124 per head processed versus $67 profited a year ago. Cattle slaughter fell 6.1% compared to last year, while beef production was down 5.8%.

Hogs & Pork
Pork processors lost $3.78 per head last week, compared to $14.12  profited a year ago. Hog slaughter was up 3.8%, while pork production increased 4.4%.

Dairy
The March class III futures contract dipped roughly 5% to $15.85/cwt. as of Monday’s close. The recent decline is related to a supply glut which has caused a 10% price decline since the first trading day of 2012.

Ethanol & Energy
The ethanol crush margin averaged 21 cents per gallon, down 33 cents from last year and 22 cents below last week. Ethanol averaged $2.13 per gallon, trading at 78-cent discount to gasoline.