Pork Producers Want USDA Help

June 27, 2000

The National Pork Producers Council wants USDA to take three actions in an effort to keep hog prices from declining below $40 per cwt this fall, a benchmark considered to be the break-even price for many producers. NPPC cites declining cutout values, shrinking slaughter capacity and an expansionary hog-corn ratio to justify the actions.

NPPC is requesting the Department to (1) accelerate purchases of pork and pork products for domestic and international feeding and humanitarian programs; (2) support making Danish pork ribs the centerpiece of the new EU retaliation list; and (3) establish an emergency pork disaster relief stockpile.

Craig Jarolimek, NPPC president, said that because Europeans do not eat ribs, closing the U.S. market to EU ribs will cause hog and pork prices throughout the entire European Union to be pressured, thereby improving the chances of reaching an agreeable settlement to the beef hormone issue.

Jarolimek cited several examples, including the aftermath of Hurricane Mitch, when canned pork products could have been used to ease the suffering of people struck by natural or man-made disasters had they only been available.

"USDA should recognize that this situation could occur at any time and act now so that canned pork would be available before emergency relief efforts are needed," Jarolimek said. "When a crisis occurs, it is already too late to secure the product."