# Higher feed costs affect pork profits

> Chris Hurt estimates 2018 US pork production costs will rise about $4 per cwt (6%), driven by feed. Decatur high-protein soybean meal could average about $365 per ton in 2018, up 16%, due to yield-reducing dryness in Argentina, while corn is forecast near $3.65 per bushel, up 9%.

- Date: 2018-04-02 · published 2018-04-02T12:00:00.000Z
- Category: weather · region US · magnitude medium
- Page: https://feedsoft.ai/events/65629-higher-feed-costs-affect-pork-profits
- Commodities: [Soybean Meal](https://feedsoft.ai/c/SBM.md), [Corn](https://feedsoft.ai/c/CORN.md), [Lean Hogs](https://feedsoft.ai/c/HOGS.md)

## Why it matters

Higher meal and corn costs squeeze hog margins toward breakeven and support soybean meal and corn prices, with Argentine dryness a key supply risk for world meal.

## Read by commodity

- SBM: bullish ▲
- CORN: bullish ▲
- HOGS: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBM | 2023-03-09 | [Higher soya price halts drop in poultry feed costs - Poultry Network](https://feedsoft.ai/events/36945-higher-soya-price-halts-drop-in-poultry-feed-costs-poultry-network.md) | -3.6% | -9.1% |
| SBM | 2020-10-08 | [Poultry feed prices hit five-year high - Poultry Network](https://feedsoft.ai/events/50750-poultry-feed-prices-hit-five-year-high-poultry-network.md) | -0.7% | +6.8% |
| SBM | 2021-05-13 | [Drought Hits Brazil Corn; Feed Costs Could Squeeze Meatpacker Margins - AgWeb](https://feedsoft.ai/events/46924-drought-hits-brazil-corn-feed-costs-could-squeeze-meatpacker-margins-agweb.md) | -9.3% | -13.4% |
| SBM | 2017-06-09 | [DDG Prices Driven Higher by Rise in Corn Futures](https://feedsoft.ai/events/70594-ddg-prices-driven-higher-by-rise-in-corn-futures.md) | -1.8% | +7.3% |
| SBM | 2017-01-20 | [Soyabean price catapulted higher as rains hit Argentina — Arabian Post](https://feedsoft.ai/events/73066-soyabean-price-catapulted-higher-as-rains-hit-argentina-arabian-post.md) | -1.7% | -1.8% |
| CORN | 2021-10-18 | [Higher feed prices this winter](https://feedsoft.ai/events/44681-higher-feed-prices-this-winter.md) | +1.5% | +13.0% |
| CORN | 2019-01-28 | [High feed prices to affect profit margins of poultry farms in India \| Company News - Business Standard](https://feedsoft.ai/events/61237-high-feed-prices-to-affect-profit-margins-of-poultry-farms-in-india-company.md) | +0.7% | +0.8% |
| CORN | 2019-07-08 | [Higher corn futures cause feeder calf prices to dip](https://feedsoft.ai/events/58230-higher-corn-futures-cause-feeder-calf-prices-to-dip.md) | +2.0% | -3.2% |

## Sources

- farmprogress.com: https://www.farmprogress.com/hog-and-pork-news/higher-feed-costs-affect-pork-profits

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.