Worldwide bacon shortage coming

Hog farmers are sending more of the herd to slaughter in the face of rising grain costs. That will lead to short supplies next year.

By Kim Peterson Sep 25, 2012 1:57PM
Credit: photontrappist/Flickr/Getty Images
Caption: File photos of pigs in the UKClear some room in the freezer and start stocking up, because a global shortage of bacon "is now unavoidable," according to Britain's National Pig Association.

Pig farmers throughout the world are warning of a shortage of bacon and pork next year, the association says, because skyrocketing grain costs have made it too expensive to feed herds.

In the short term, bacon and pork prices may come down. That's because farmers, faced with mounting losses, are slaughtering animals at the fastest rate since 2009, Bloomberg reports. In the fourth quarter, farmers may receive about $151 for a 270-pound hog that cost about $195 to produce.

A little more than 73 million hogs were slaughtered through August this year -- the highest number in three years. All that extra pork on the market has sent wholesale pork prices tumbling.

But next year, it's estimated that the U.S. pork supply will drop to the lowest per capita since 1975. Countries around the world are preparing for hard times. The Chinese government is putting pork into cold storage in preparation for shortages next year, the National Pig Association reports.

Investors are betting on a pork price increase as well. Pork futures for December delivery are 75 cents a pound, but pork futures for July 2013 delivery are up to 97 cents a pound.

Agricultural experts say pork will still be cheaper than beef next year. "If you got sticker shock on pork, you'll have a heart attack when you look at beef," the CEO of Smithfield Foods (SFD) told analysts earlier this month, according to Bloomberg.

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Tags: SFD
28Comments
Sep 25, 2012 3:18PM
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So why are we turning corn into ethanol for cars (instead of turning it into food-especially BACON)  when we have the biggest natural gas bonanza EVER?  Seriously, a bacon shortage AND $4 gasoline?  Why does supply and demand never seem to work for the consumer?
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Here comes a new  process, the wild hogs of SW Oklahoma and Texas and much of the US is out of control and is exploding to the levels of destruction of most of the land in their path. Time to go hunting folks, just take a trip to Texas or come see us in Oklahoma and at some places for $1 a day you can shoot as many hogs as you want. This will off set the cost of the trip and give you more bacon an ham than you can eat in a year., Just a different budgetary idea for everyone - and a free road trip to boot that is much funner than the local grocery store :)
Sep 25, 2012 2:46PM
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Good for Muslims, bad for lettuce and tomatoes.

Sep 25, 2012 3:09PM
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Bacon shortage????  Thems fightin' words!
Sep 25, 2012 5:28PM
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My goats are looking better everyday. Goats eat vegetation no other animal will eat. My feed costs for my goats: $0. I have 10 goats on 25 acres and they have twins every year. That's 20 babies per year. My 28 chickens go through 1 bag of feed per week X $15=$780 per year! The feed was $9 just a few years ago. Of course I get about, on average, 1 dozen free range eggs per day that the stores sell for $3.15 a dozen. So the eggs are worth roughly $1150. But damn, chicken feed isn't cheap any more. And its the damn ethanol using up so much of the corn crop. Even Al Gore said he lied about the benefits of ethanol. How long will this stupidity continue?
Sep 25, 2012 5:51PM
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I guess will just have to start eating, Spotted Owls....to make up the shortage. They taste a little like chicken....I think if you grind them up put some seasonings with it...smoke the meat it might make it to Turkey bacon.
Sep 25, 2012 5:07PM
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Now you`re hitting below the belt.When want to increase the price of bacon

that means war.Next beer and strippers.

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Well an overweight nation will lose sound poundage and clear their arteries a little. This will reduce health care costs dramatically.
Sep 25, 2012 9:27PM
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Don't eat much pork, so not a problem.  However I bet my next full slab of ribs at Dave's Barbeque  will cost $50.
Sep 25, 2012 8:39PM
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We will slaughter 6 hogs in a few weeks....We should have bacon and ham through next summer...

It's all called planning, but they haven't been cheap to raise..

Sep 26, 2012 8:12AM
Sep 25, 2012 4:51PM
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The Muslims have discovered bacon and like it.  That is the reason for the shortage.
Sep 25, 2012 4:23PM
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Oh, come on!  Why is it any more pricy to raise sheep, steer, hog, etc?  If you want or have a price agenda to make futures go up, then say so.  After drought here, prices may go up, literally on everything.  At the local grocery, oranges are $4.99 a bag-the same price as the pricier Whole Foods Market, yet high pulp orange juice is 2 for $6. So, what are we gonna buy?  Juice for now.  I can go to the local farmer who sells at Farmer's market, I suppose I could get a half a pig for back stock, but I don't really have to either. I can pay  a few hundred bucks and get a freezer and fill it with a few hundred more of pork, or we can wait out the storm?  As we can, we put away backstock.  This agenda was already in Obama's plans.  He said so.  But I anticipate, that if they continue to grow corn, since we've had several local 'clean' fuel companies begin and go bankrupt, corn as food rather than fuel will become vogue again, and prices will fall back into proper perspective inspite of Obama incentives, predictions, and lifestyle that he wants for us or the rest of the world.
Sep 25, 2012 9:14PM
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Time to buy a freezer?? has any body know where I can get a good used freezer before they are all sold
Sep 25, 2012 2:40PM
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Wow... I mean just... wow. I hope people know that in 10 years (likely much sooner), a bacon shortage will be the last thing to worry about.  It'll be obtaining food, period, and protecting yourself from people trying to take your food.  It's all down hill from here, in all aspects.  People just don't know it yet...

Sep 27, 2012 12:17PM
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ME Bertoni

You seriously need help. Maybe you've watched too many cartoons and connected to the animal characters somehow. However, there are humans then there are animals. Try to keep that straight in your troubled mind.

Sep 25, 2012 8:54PM
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Ok so that's the end of Hog Farming. That will also end the pork belly futures. Pork is not good for the human body so the fat folk will loose some weight.The pork farmers can now grow corn and sell it to the rich oil Companies., so is there any other news today?? . .

.

Sep 25, 2012 4:06PM
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Guess we will all have to convert to Judaism or Islam.  So sad!
Sep 25, 2012 3:20PM
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Not after the Republicans get slaughtered in November?
Sep 25, 2012 3:13PM
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Typical southern response Larry, like to see your family running through the woods and your children losing their parents as they are mindlessly shot for pungent meat. Next time the south sucedes let em go, biggest mistake was bringing those morons back into the fold. With few exceptions.

 

I feed those pigs, I know how intelligent they are, scared out of their wits and always running for their lives, my wish for you is to be on the other end of that experience so you can see the terror and cruelty you bring to those amazing animals.

 

I find it simply amazing that the closer I get to the bible states the crueler people become. It is a fact.

Nobody really aspires to be godlike, they run around pointing the finger and assuming that god will save them because they accept it. Tards.

 

THe kingdom of heaven is not some place to go, its what you take with you when you leave. YOur state of mind.

 

The southern states are the biggest bunch of hypocrites its been my misfortune to  experience

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