Meat Market Updates April 13,2012

BEEF

Packers are searching for the right production levels to stimulate this
market. Demand has just not been strong and unless there is a reduction
in the supply numbers there is just no reason to see a rebound in
prices. We should soon begin to see the Choice to Select spread widen as
we enter a period of the year where the cutout is normally weighted
heavier to the select and no roll product causing the choice to gain
some ground.

PORK

This market does appear to be headed in the upward direction. There has
just been too much product available - exports have declined and hog
weights have increased putting the packers in a negative position. With
the other protein markets staying elevated there is reason for optimism
that pork will be heavily featured in the retail sector which should
raise prices across the board.

LAMB and VEAL

Still waiting for the inevitable - lower prices - it’s not a matter of
if, but when.

CHICKEN

Except for a slight reduction in the whole bird pricing this market
remained stable for a third straight week. Wings have retained their
strength even with March Madness being two weeks in the rear view
mirror. Many feel we will see some declines in the coming weeks reaching
lows in June.