NHF_WEEKLY PREVIEW_ A Penton Media Property June 29, 2009 If you want to view this on the web go to: http://enews.penton.com/enews/nationalhogfarmer/v/403 MARKET PREVIEW --No Relief in Pig Crop Report Last Friday's quarterly Hogs and Pigs report did little to allay fears that the North American pork industry is in for another year of economic difficulty. As has been the story in most recent reports, any reductions of productive capacity being made by U.S. producers are being almost simultaneously offset by rising productivity. The key numbers from the USDA report appear in Table 1. Note that virtually all of the numbers are very close to analysts' pre-report estimates, published last week per a survey by DowJones. Anything within 1% is usually deemed "as expected" and likely to be neutral for Lean Hogs futures. Early trading on Monday indicates that the market was a bit surprised by the size of the fall pig crop (down only 0.1%) and somewhat disappointed that the breeding herd was not lower -- even though I don't know how current data could have suggested a significantly lower breeding herd. To view the full article go to: http://nationalhogfarmer.com/marketpreview/0629-no-relief-in-pig-crop-report FINANCIAL PREVIEW --Losses Continue to Mount I looked back at some of my previous columns that I had written for National Hog Farmer's Weekly Preview, and I find myself growing tired of even writing about the continued losses that the industry is experiencing. When the price for hogs is sitting at close to $57/cwt., carcass, pork producers are receiving about $114 a head for their hogs, while their cost to raise hogs is close to $140 a head. This equates to a $25 per head loss, and as you look forward, there are no profits in sight on the futures market until the middle of 2010. In addition, pork cutout value is actually running below that of cash prices. Cutout value on June 24 was at $53.44, almost $2.50 below the cash price for that date. There's no doubt that everyone in the pork industry is in need of some financial relief -- but so far there does not seem to be any sign of relief in sight. To view the full article go to: http://nationalhogfarmer.com/marketing/0629-losses-continue-to-mount LEGISLATIVE PREVIEW --Ag Agreement on Climate Change Congressman Collin Peterson (D-MN), chairman of the House Agriculture Committee, announced an agricultural agreement on the climate change bill that the House of Representatives passed Friday night (June 26) by a vote of 219-212. Peterson worked out the agreement with Congressman Henry Waxman (D-CA), chairman of the House Energy and Commerce Committee. Peterson said, "The climate change bill will include a strong agriculture offset program run by the U.S. Department of Agriculture that will allow farmers, ranchers, and forestland owners to participate fully in a market-based carbon offset program. This agreement also addresses concerns about international indirect land use provisions that unfairly restricted U.S. biofuels producers and exempts agriculture and forestry from the definition of a capped sector." On indirect land use, the agreement postpones the RFS2 (Renewable Fuels Standard) rule provision on indirect land use for five years (three-year study, two years for determination), plus another year for implementation at the conclusion, if needed. The agreement gives the secretary of agriculture veto power over the determination. To view the full article go to: http://nationalhogfarmer.com/environmental-stewardship/news/0629-agriculture-agreement-on-climate-change NEWS FLASH --Pork Checkoff Requests Input On Crafting New Strategic Plan With the long list of challenges confronting pork producers today, the National Pork Board (http://www.pork.org/) is seeking producer input to help shape the future of the U.S. pork industry. The goal of the series of meetings is to find new solutions to the economic, social and scientific challenges facing the pork industry. The July regional meetings are open to all pork producers and to others with an interest in the future of the pork industry and the role of the Pork Checkoff. The meetings will be from 9 a.m. to 2 p.m. as follows: To view the full article go to: http://nationalhogfarmer.com/marketing/news/0625-pork-checkoff-plan PORK INDUSTRY CALENDAR July 23, 2009: Pork Checkoff strategic planning meeting, Holiday Inn Convention Center, Omaha, NE; contact: the National Pork Board at (800) 456-7675 or go to www.pork.org (http://www.pork.org). July 24, 2009: Pork Checkoff strategic planning meeting, Indiana Pork Producers office, Indianapolis, IN; contact: the National Pork Board at (800) 456-7675 or go to www.pork.org (http://www.pork.org). Texas Farm, LLC Is Expanding its Leadership Team! Texas Farm a 14 year Pork Production company located near Perryton, Texas is looking for experienced Pork Production Managers, Supervisors, and Team Leaders to add to it Leadership Team. If you are an energetic individual with two years or more of Pork Production experience and experience in a successful leadership role, you may qualify to join the Texas Farm Team. Located in the Texas Panhandle, Texas Farm is the highest quality pork production company in the region. Texas Farm offers excellent employee and family benefits, and Perryton is the best place in the Panhandles to live and raise a family. Take advantage of this opportunity today, and join the strongest Leadership Team in Pork Production. Apply in person at 4200 South Main, Perryton, Texas 79070 Or contact Human Resources at (806)-435-5935 cbarrett@texasfarmpork.com (mailto:cbarrett@texasfarmpork.com) Texas Farm, helping feed the world! ABOUT THIS NEWSLETTER You are subscribed to this newsletter as #email# To subscribe to this newsletter go to: http://subscribe.nationalhogfarmer.com/?tc=NLSUB To unsubscribe from this newsletter go to: http://subscribe.nationalhogfarmer.com/?tc=NLSUB&cid=#message_id#&lid=#list_id#&email=#email# Send Comments & Questions Dale Miller, Editor, National Hog Farmer, mailto:dale.miller@penton.com Penton Media | 249 W. 17th Street | New York, NY 10011 Copyright 2009, Penton Media. All rights reserved. This article is protected by United States copyright and other intellectual property laws and may not be reproduced, rewritten, distributed, re-disseminated, transmitted, displayed, published or broadcast, directly or indirectly, in any medium without the prior written permission of Penton Media.