Watch Live: Congressional Hearing on IRS Scandal

Live Now on TheBlaze Radio: ‘The Buck Sexton Show’

Business

Analysts: Bacon Shortage Fears Are Hogwash… But Prices Will Rise

Oct. 2, 2012 12:15am Becket Adams

Analysts Claims Bacon Shortage Fears Are Overblown, But Prices Will Rise

FILE - This June, 28, 2012, file photo shows hogs at a farm in Buckhart, Ill. U.S. agricultural economists say that a global shortage of bacon because of this year's drought will not pan out. Their consensus is that consumers will still find their ever-ubiquitous bacon at the supermarket, but they should just expect to pay more for it. (AP)

ST. LOUIS (TheBlaze/AP) — The economics of the current drought are likely to nose up prices for bacon and other pork products next year, by as much as 10 percent. But U.S. agricultural economists are dismissing reports of a global bacon shortage that blew up headlines and Twitter feeds last week.

“Use of the word ‘shortage’ caused visions of (1970s-style) gasoline lines in a lot of people’s heads, and that’s not the case,” said Steve Meyer, president of Iowa-based Paragon Economics and a consultant to the National Pork Producers Council and National Pork Board.

“If the definition of shortage is that you can’t find it on the shelves, then no, the concern is not valid. If the concern is higher cost for it, then yes.”

Fears about a scarcity of bacon swept across social and mainstream media last week after a trade group in Europe said a bacon shortage was “unavoidable,” citing a sharp decline in the continent’s pig herd and drought-inflated feed costs. The report caused much consternation over a product that used to be merely a breakfast staple, but nowadays flavors everything from brownies to vodka.

The alarm was quickly dismissed by the American Farm Bureau Federation as “baloney.”

“Pork supplies will decrease slightly as we go into 2013,” Farm Bureau economist John Anderson said. “But the idea that there’ll be widespread shortages, that we’ll run out of pork, that’s really overblown.”

The drought in the U.S., the world’s biggest supplier of feed grains, undeniably will affect pig production. The Corn Belt’s lack of moisture twice has prompted the U.S. Agriculture Department to slash its forecast for this year’s corn output. The government now expects U.S. production of the grain to amount to 10.8 billion bushels, the least since 2006.

Those lowered expectations sent prices of corn — also used in ethanol, further squeezing supply — to record highs through much of the summer. Feed generally makes up about 60 percent of the expense of raising a pig. Rather than absorb the higher costs, swine and beef producers often have culled their animals by sending them to slaughter.

As of Sept. 1, the nation’s inventory of hogs numbered 67.5 million head, up slightly from a year earlier, the USDA reported Friday. But the USDA suggested that pork supplies will tighten next year as the nation’s breeding stock and intended farrowings — birthings of litters of pigs — likely will drop due to high feed costs.

“I think we’re going to (still) see pretty substantial liquidations” of livestock, Meyer said, guessing that 3 percent of the nation’s breeding pigs could be sent to slaughter by next March. “And by my estimation, that’s a big move.”

The USDA said the breeding inventory of sows and boars stands at 5.79 million head, down slightly from last year and off 1 percent from the previous quarter.

Such liquidations could mean a temporary glut of pork on the U.S. market, depressing pork prices before the oversupply eases and the volume of pork drops again next year, causing hog prices to rebound, said Ron Plain, an agricultural economics professor at the University of Missouri in Columbia. Consequently, he estimates, the higher costs will be passed along to consumers, who could end up paying 10 percent more for their bacon.

As of Friday, the USDA said, a pound of sliced bacon cost an average of $4.05 at the nation’s supermarkets, down 22 cents from a week earlier.

Follow Becket Adams (@BecketAdams) on Twitter

–

RELATED:

All photos courtesy the AP.

In CONTROL, Glenn Beck presents a passionate, fact-based case for guns that reveals why gun control isn’t really about controlling guns at all; it’s about controlling us. Find out more HERE.

Back to The Blaze »

Comments (28)

nelan72
Posted on October 3, 2012 at 3:50pm
Because it is people?

Report this comment
Log in to Reply Reply
flatbroke
Posted on October 2, 2012 at 1:55pm
chocolate covered bacon, and bacon shakes, bacon covered pork steaks, bacon double cheese burgers ah! those were the good ole days!

Report this comment
Log in to ReplyReply
- Moe1138
  Posted on October 2, 2012 at 6:56pm
  And for afterwards…the “Bacon-tini”.
  
  Report this comment
- ishka4me
  Posted on October 3, 2012 at 11:28am
  I knew it was b s, only thing easier then raising pigs is growing tomatoes. Pigs mulitply like rabbits and grow like weeds.
  
  Report this comment
Beachbaby
Posted on October 2, 2012 at 11:05am
Of course its hogwash. But muslims hate pigs because Jesus Christ sent demons into them and drowned them. Thats why they dont bathe or eat pork. Fry up some chops and salt them real good. Just eat the fat around the meat. Perfect food.

Report this comment
Log in to Reply Reply
intercepter
Posted on October 2, 2012 at 10:40am
well if price goes up ,I’ll just pay more for bacon ,,I don’t care ,,its a super food ,goes with just about everything

Report this comment
Log in to Reply Reply
DrunkGOP_Hack
Posted on October 2, 2012 at 10:12am
A new day, a new BUBBLE!

Report this comment
Log in to Reply Reply
RamonPreston
Posted on October 2, 2012 at 9:02am
How about the MSN article on the farmer who was eaten by his pigs. Don’t ******* the pigs!

Report this comment
Log in to Reply Reply
Willik
Posted on October 2, 2012 at 7:01am
Aren’t pigs proscribed by Islam? If one digs deep, this ‘attack’ is probably generated by Islamists. A shroud of pigskin for each of them!

Report this comment
Log in to Reply Reply
Teufel Hunden
Posted on October 2, 2012 at 2:08am
I blame Obama. He will stop at nothing to kiss some muslims ass.

Report this comment
Log in to Reply Reply
PIGSWILLNEVERFLY
Posted on October 2, 2012 at 2:03am
Isn’t pork the other white meat….it must be another racist thing.

Report this comment
Log in to ReplyReply
- damon_k
  Posted on October 2, 2012 at 5:03am
  It’s like Rohm said, “You never want to waste a crisis.” And if there isn’t one, create one. Read more insights at: http://smallcraftadvisorychronicles.blogspot.com/
  
  Report this comment
- chucksue351
  Posted on October 2, 2012 at 6:38am
  unclean unclean unclean look at Leviticus chapter 11 please
  
  Report this comment
- RamonPreston
  Posted on October 2, 2012 at 9:06am
  @ChuckSue351 That’s old testament. The old testament was done away with. Wait! I can kill and steal because that’s old testament, too. (People disregard anything they don’t want to believe.)
  
  Report this comment
razhunter100
Posted on October 2, 2012 at 1:47am
c/p/w Permission: May 24, 2010 — Special Report. Obama and Emanuel: members of same gay bath house club in Chicago
President Obama and his chief of staff Rahm Emanuel are lifetime members of the same gay bath house in uptown Chicago, according to informed sources in Chicago’s gay community, as well as veteran political sources in the city.

The bath house, Man’s Country, caters to older white men and it has been in business for some 30 years and is known as one of uptown Chicago’s “grand old bathhouses.” WMR was told by sources who are familiar with the bath house that it provides one-year “lifetime” memberships to paying customers and that the club’s computerized files and pre-computer paper files, include membership information for both Obama and Emanuel. The data is as anonymized as possible for confidentiality purposes. However, sources close to “Man’s Country” believe the U.S. Secret Service has purged the computer and filing cabinet files of the membership data on Obama and Emanuel.
…

Report this comment
Log in to ReplyReply
- PIGSWILLNEVERFLY
  Posted on October 2, 2012 at 2:00am
  If you’re just finding this out….there’s much, much more….keep diggin’ there’s even 2 that are “with us no more”. Then there’s Reggie Love, Larry Sinclair…just to get you started.
  
  Report this comment
- NOTMOHAMMED
  Posted on October 2, 2012 at 4:40am
  With Georgie-porgie Stepinpoopthenus as pivot-man. ewwwwwww….I just gave myself a mental picture that I’ll never be able to erase. I just thought I’d share it with everybody. It’s no fun to throw up in your mouth a lot alone.
  
  Report this comment
- razhunter100
  Posted on October 2, 2012 at 5:24am
  thanks,
  have known about barry soetoro since before 2004 …
  
  just passing along info.
  
  peace.
  
  Report this comment
semihardrock
Posted on October 2, 2012 at 1:35am
For the EXACT SAME reason why they are telling everyone about “global food shortages” which is b***sh**.

It’s ALL about the Fed printing more of that World Currency…….OR …..INFLATION!

The brainwashing continues….

Report this comment
Log in to ReplyReply
- DEFCON4
  Posted on October 2, 2012 at 1:45am
  You can not eat money!
  
  Report this comment
- KevINtampa
  Posted on October 2, 2012 at 2:05am
  Animal Farm does come to mind. Blame everything but reality for as long you can get away with it. Do it long enough and one day the only reality that matters is whatever narrative you want to carry.
  
  Report this comment
Detroit paperboy
Posted on October 2, 2012 at 1:20am
Tomorrow I’m gonna have a massive BLT on some thick sliced sour dough bread !!!!!!! Mmmmmmmmm….with romaine lettuce and garden fresh tomatoes ………and a little mayo !!!!

Report this comment
Log in to Reply Reply
CatB
Posted on October 2, 2012 at 12:40am
Doesn’t matter what is the TRUTH .. what matters is what people think is happening … anyone remember the Toilet Paper Shortage of 1973 …. it was a joke .. and toilet paper became VERY hard to get!

http://thelongestlistofthelongeststuffatthelongestdomainnameatlonglast.com/trivia74.html

Report this comment
Log in to Reply Reply
LeadNotFollow
Posted on October 2, 2012 at 12:21am
…
Once Islam takes over the United States and Sharia Law is implemented, all pork will be banned, forever.

Report this comment
Log in to ReplyReply
- LeadNotFollow
  Posted on October 2, 2012 at 12:27am
  …
  Hog farms in America are already so highly monitored and restricted by the Government, that hog farmers will be forced to go out of business, even before Islam takes over.
  
  Report this comment
- riseandshine
  Posted on October 2, 2012 at 12:53am
  lol
  
  Report this comment
- marine249
  Posted on October 2, 2012 at 1:20am
  they will have to pry that hot pork butt
  from my cold hand.
  
  Report this comment
- sparkyrules
  Posted on October 2, 2012 at 3:56am
  I hope they enjoy their hot lead sandwich while I enjoy my BLT.
  
  Report this comment

It appears that you have Javascript Disabled. Please enable Javascript in your browser preferences for a better user experience on TheBlaze. You can not comment without Javascript enabled.