Smithfield Foods Inc. is the largest pork processor in the US by volume. It is closing an 1,800 employee plant in California due to the shrinking size of California’s hog herd. Animal rights and environmental regulatory costs shrunk the hog business and raised pork processing costs to eliminate profitable operation of a hog packing business.
For three months, we heard talk about terrible food shortages on the horizon due to Ukrainian corn and wheat not being available to the world marketplace. So why did USDA not increase US wheat exports and actually reduced US corn exports 45 million bushels on the June S&D? Somebody is lying.
Knobbe Ag of Houston has been trading ethanol, corn, soybeans, and cattle for 25 years. They told their clients yesterday: