Total domestic commercial red meat production during May was 4.485 billion pounds, 4% more than in May 2021.
Of that total red meat production, beef accounted for roughly half with 2.288 billion pounds, which was 3% higher than last year at this time. Also, a 4% increase in the slaughter rate canceled out a nine-pound decrease for the average live weight.
The dairy cow slaughter was 225,200 head, 12,600 less than in April, but 1,800 more than May 2021. The year-to-date dairy cow slaughter is 1.288 million head, 38,000 slower than last year’s pace.
Pork came out at 2.182 billion pounds, a jump of 5% on the year, with slaughter rising 4% and the average live weight gaining three pounds.
For the first five months of 2022, U.S. commercial red meat production is 22.756 billion pounds, 1% behind the 2021 pace.
That said, the USDA’s cold storage numbers for May reflect slower consumer demand for beef and pork.
Beef supplies at the end of May were a monthly record at 519.833 million pounds, a jump of 25% on the year, well above the 3% year-over-year increase in beef production.
Pork came out at 543.079 million pounds, 17% more than last year, following a 5% rise in production from May 2021 to May 2022.
Red meat stocks were 1.088 billion pounds, 20% larger than a year ago.
Chicken in cold storage was reported at 751.390 million pounds, 3% higher, while turkey supplies were 376.079 million pounds, 4% lower, including record monthly lows for turkey breasts, legs, and mechanically deboned meat. Poultry stocks totaled 1.129 billion pounds, up 1% on the year.
Slower demand for some types of cheese pushed the U.S. supply to record end of May levels. USDA says natural cheese stocks at the end of last month were 1.512 billion pounds, up 4% on the year, even as cheese production for the month was mostly below a year ago.
Editor’s Take:
Herein lies one of the problems with inflation at such high rates. Agriculture is not an industry that can simply adjust supply with the turn of a dial or flip of a switch. We are now witnessing production building just as consumer demand pulls back. As the old saying goes – the cure for higher prices is higher prices. However, the challenge for farmers and ranchers will be adjusting production levels to meet lower demand and eliminating the supply line buildup. Shifting production will take some time. Eliminating any buildup in supply can be accomplished with lower prices. Maybe that is a cure for inflation but, sooner or later, when prices do come down, consumers will once again demand more, but as we said earlier – that can take some time. And, so the cycle goes. It’s good to keep your ear tuned to what is happening to farmers and ranchers in your area. Make sure you let them know about AgPack. And speaking of AgPack – be prepared for some huge announcements coming in July! If you think the exclusive rebates and discounts are significant now, just wait until you see what we have in store ….
