“In an environment of more stable feed costs, U.S. meat and poultry producers have ramped up output at a record rate. In 2015 and 2016 we set all-time records for total production, and the 2017 forecast is to break 100 billion pounds for the first time. Next year is forecast at a record 103 billion pounds.
Per capita disappearance is forecast to reach 220.7 pounds in 2018, up from 201.8 as recently as 2014. If USDA is right, we will be very close to the 2007 pre-recession/ethanol record of 221.7 pounds per person. With keen competition from rapid production growth, what can we expect in terms of 2018 prices and costs?”