Milling & Baking News Corporate Profiles - November 2013 - (Page 40)

Meat and Poultry Meat and Poultry Tight beef supplies offer opportunities for competing proteins A t the beginning of 2013, the U.S. cattle herd was at its lowest level since 1952. The drought combined with high feed costs has hindered the beef sector as well as other competing proteins. As 2013 transitions to 2014, it remains to be seen if any one animal protein will be able to gain share. The U.S. Department of Agriculture, in its February cattle inventory report, said that all cattle and calves in the United States as of Jan. 1, 2013, totaled 89.3 million head, a 2% reduction below the 90.9 million on Jan. 1, 2012. Even more severe was the reduction in the number of all cows and heifers that calved in the last year. The U.S.D.A. said the reduction to 38.5 million, down 2% from the 39.4 million on Jan. 1, 2012, represented "the lowest Jan. 1 inventory of all cows and heifers that have calved since the 36.8 million head in 1941." Fast-forward to the week of Oct. 21, and prices paid by beef packers for cash cattle reached record highs near $135 a cwt for live cattle weighing 1,100 to 1,400 lbs in the Midwest and south Plains and near $210 a cwt on a dressed basis (carcass) in the Midwest. Strong cash cattle prices were a key mover of live cattle futures traded at the CME Group. The nearby October contract touched a 2013 high of $134 a cwt on Oct. 25, up about $10, or 8%, from late August. Feeder cattle futures, meanwhile, hit record highs near $170 a cwt in mid-October. In its September World Agricultural Supply and Demand Estimates, the LEADING REFRIGERATED SLICED lunchmeat vendors 1 2 3 4 5 6 7 8 9 Dollar sales Kraft Foods Inc. $2,030,848,000 Hillshire Brands $585,625,300 Land O'Frost, Inc. $414,609,300 Bar-S Foods Co. $185,008,300 Carl Buddig & Co. $136,838,100 Hormel Foods $109,416,500 Armour-Eckrich Meats L.L.C. $101,859,000 Tyson Foods, Inc. $63,080,400 Applegate Farms, Inc. $58,563,870 Private label $934,469,800 Total $5,267,443,000 U.S.D.A. projected 2014 beef production at 24,150 million lbs, down 5.7% from 2013, which was down 1.2% from 2012. At the same time, 2014 pork production was projected to increase 3.2% from 2013, with output seen up 0.6% from 2012. Broiler production was projected to increase 2.5% in 2014 after posting a gain of 2.1% in 2013. "Monthly retail beef prices set successive records in July and August," the U.S.D.A. said in its September Livestock, Dairy and Poultry Outlook. "August retail Choice beef LEADING REFRIGERATED SLICED % change from year ago -3.4% -10.5% 0.6% 8.8% -4.5% 2.2% -0.3% 66.6% 36.4% 0% -1.8% lunchmeat brands 1 2 3 4 5 6 7 8 9 Oscar Mayer Oscar Mayer Deli Fresh Hillshire Farm Deli Select Land O'Frost Premium Bar-S Hormel Natural Choice Buddig Oscar Mayer Carving Board Eckrich Private label Total Dollar sales $1,048,548,000 $839,718,100 $453,225,200 $294,106,700 $184,576,900 $103,400,400 $102,030,400 $89,380,240 $72,407,340 $934,469,800 $5,267,443,000 % change from year ago -9.2% 1.8% -11.8% -3.0% 8.9% 3.2% -1.2% 6.7% -0.3% 0% -1.8% Data for 52 weeks ended Sept. 8, 2013 Total U.S. - Multi-outlet with C-Store (Supermarkets, Drugstores and Mass Market Retailers, Gas/C-Stores, Military Commissaries and Select Club & Dollar Retail Chains) Source: Information Resources, Inc. 40 \ November 2013 Milling & Baking News * Food Business News * Baking & Snack * Meat & Poultry Corporate Profiles

Table of Contents for the Digital Edition of Milling & Baking News Corporate Profiles - November 2013

Milling & Baking News Corporate Profiles - November 2013