U.S. hog herd continues to contract with no signs of expansion

USDA’s Hogs & Pigs Report estimated the U.S. hog herd at 72.5 million head as of June 1, down 629,000 head (0.9%) from year-ago. The market hog inventory at 66.5 million head declined 0.9%, while the breeding herd dropped 0.8%. 

The spring pig crop declined 1% from last year to 32.9 million head. Spring farrowings fell 1.4%, while pigs per litter rose 0.5% to a record for the period. 

Producers intend to reduce the number of sows farrowed by 1.0% during summer and 1.4% next fall. Both of those were slightly less-than-expected reductions. 

Market hog inventories were heavier than expected for hogs immediately coming to market, but lower for the lighter categories. The figures signal hog slaughter should run around 1% under year-ago through winter. 
There is no reason to think the U.S. hog industry and the supply of hogs and pork will increase through the first half of 2023. 

USDA revised up the March 1 hog population by 410,000 head and the Dec.  1 figure by 300,000 head. These changes don’t mean a great deal, since the increased numbers have already worked through the marketing chain.