Global IT Outage Reaches U.S. Meat Processing Sector

Early Friday, a significant IT outage caused global disruptions across sectors including airlines, banks, and healthcare services. 

Cybersecurity company CrowdStrike identified the issue as a "defect found in a single content update for Windows" and confirmed that it wasn't a security incident or cyberattack. A fix has been deployed, said CrowdStrike. 

The U.S. meat processing sector may also be affected, with one pork plant reportedly experiencing computer issues that could halt operations. Processing plants use computers for critical tasks including inventory management and equipment operations...

Kraig Westerbeek Named President, Smithfield Hog Production

Smithfield Foods has named Kraig Westerbeek as president of its hog production operations effective Feb. 29, reporting to President and Chief Executive Officer Shane Smith.

“Kraig has been an extremely valuable asset to Smithfield Foods throughout his career,” said Shane Smith, chief executive officer for Smithfield. “His extensive experience in our hog production division has helped keep Smithfield on the forefront of our industry, and I look forward to his continued leadership.”

Westerbeek brings more than 30 years of industry experience to his new role...

CDFA Issues New Proposition 12 Guidance Document on Certificates

The California Department of Agriculture's (CDFA) Animal Care Program has issued a new guidance document to aid stakeholders in distinguishing between the various certificates issued for Proposition 12 compliance.

Proposition 12 (2018) went fully into effect on January 1, 2024. The law prohibits the sale of shell eggs, liquid eggs, whole pork meat, or whole veal meat in California from animals that fail to comply with specific standards for freedom of movement, cage-free design, and specified minimum floor space. 

The Supreme Court upheld Proposition 12...

REPORTER: Gauging Beef and Pork Supplies in 2024

This article was originally featured in the WINTER 2024 Edition of Urner Barry’s Reporter magazine. 

2023 was a year characterized by extreme financial losses for the nation’s hog producers.

The average return to farrow to finish operations in the first half of the year was minus $34.64 per head, based on research from Iowa State University (ISU). Producers experienced a brief period of profitability over the summer but faced losses once again by the fourth quarter.

The steep losses gripping the hog industry have prompted herd liquidation efforts since...

Major U.S. Winter Storm May Hinder Livestock Movement

Livestock producers and road crews are preparing for a major winter storm that will impact a significant portion of the country this week. 

The Plains and Midwest, where the bulk of the nation's cattle and hog-producing regions are located, could experience heavy snowfall and blizzard conditions through Tuesday. Meanwhile, damaging winds and severe thunderstorms are expected for the deep South through the Northeast today into tomorrow, according to the National Weather Service (NWS). 

Whiteout conditions due to heavy snowfall combined with severe wind gusts could...

CME Grain Futures Pressured by Improved Moisture in Brazil

CME soybean futures began the new year at multi-month lows, pressured by improved moisture in Brazil and extended forecasts for additional rainfall. 

The March soybeans contract slipped to the lowest level since June 30 and ended with a 24 ½ cents decline at $12.73 per bushel. 

Brazil is the world’s leading producer of soybeans, followed by the United States and Argentina. The planting season in Brazil occurs from October through December, with harvest taking place in March through May...

Smithfield Foods to Terminate Grower Contracts With 26 Farms in Utah

In a press release issued Tuesday, Smithfield Foods announced it will terminate contracts with 26 hog farms in Utah amid challenging market conditions. 

The contract terminations will eliminate Smithfield positions that support contract farm relationships, said the company. The number of Smithfield positions eliminated may be up to one-third of the 210 currently employed in its Utah hog production operations. The company will offer relocation opportunities for the affected employees.  

Smithfield Foods is one of the world's leading vertically integrated protein companies and employs nearly 60,000 people in seven countries...

North 49 Foods Opens New Sow Processing Plant in Moose Jaw

A new pork processing facility in Canada has come online, marking the first time for such an occasion in over a decade. 

North 49 Foods, a division of Thunder Creek Pork, officially opened its federally inspected sow slaughter and processing facility in Moose Jaw, Saskatchewan in late October. 

The 120,000-square-foot facility was retrofitted from the former JBS/XL Foods beef plant, which was acquired by Donald's Fine Foods in 2019.

Donald's Fine Foods already operates a hog slaughter plant in Moose Jaw that was opened in 2011...

Nepal Added to USDA List of Regions Affected by African Swine Fever

In a notice issued earlier this week, the USDA Animal and Plant Health Inspection Service (APHIS) indicated that they have added the Federal Democratic Republic of Nepal to the APHIS list of regions considered to be affected by African swine fever (ASF). 

“We have taken this action because of the confirmation of ASF in the Federal Democratic Republic of Nepal,” said the government agency. The first outbreak of ASF in Nepal was reported by the World Organisation of Animal Health in May 2022...

Supply Concerns Maintain Pressure on CME Lean Hog Futures

Lean hog futures on the Chicago Mercantile Exchange (CME) extended Friday’s steep declines on Monday, pressured by concerns about larger-than-anticipated supplies outlined in USDA’s quarterly data.

The government's latest hogs and pigs report, released Thursday, indicated the number of swine on U.S. farms as of September 1 at 74.319 million head, 0.3% above a year ago. This outpaced expectations for a 0.7% decline in the nation's herd, based on Urner Barry's survey of analysts. 

Prior to the report, the December contract advanced to $76.10 per cwt, a one-week high...

Record Breaking Heat Across Central U.S. Poses Risks to Livestock, Crops

The extreme heat impacting a large portion of the country this week has posed significant challenges for producers and their livestock. 

Highs into the upper 90s and low 100s are forecast for a broad region between the Midwest and central Gulf Coast today, according to the National Weather Service. Coupled with high humidity levels, heat indices could approach 120 degrees in some regions. While it's not unusual for August to experience heat, the current temperatures have shattered records. 

Over 110 million people across 20 states are currently under heat...