RIBS ARE UP

SL2010 · August 05, 2010, 02:32:36 PM

After a trip to butchers and to sam's i see that baby back ribs have jumped almost a dollar per pound i told the wife next they are on sale gonna buy 100 pounds to stockup

Caneyscud · August 05, 2010, 02:56:24 PM

Yeh, was driving through upper middle TN today looking at tobacco fields with a guy who owns a tobacco company - he keeps his finger on commodities and he said their was a shortage of pork bellies that was driving up the cost of bacon. I'd say if there was a shortage of pork bellies, I'd say will be - at least a perceived - shortage of hogs also! They have probably taken notes from the Oil Companies. Oh, it is a worldwide shortage - including China. Surprised?

classicrockgriller · August 05, 2010, 04:07:24 PM

I guess we will be seeing more commericals on TV that say "Eat More Beef".

hal4uk · August 05, 2010, 04:11:18 PM

We're getting closer to Labor Day.

BuyLowSellHigh · August 05, 2010, 04:58:14 PM

Over the past six months the price of Lean Hog futures have risen 20%. Moving through the chain to retail and that increase will be multiplied. Chart of price (October Lean Hogs futures contract) since February:

KyNola · August 05, 2010, 07:34:08 PM

Uh....what? Does that mean pig costs more?

watchdog56 · August 05, 2010, 07:59:42 PM

Must be from all of us smokers?

Habanero Smoker · August 06, 2010, 01:11:19 AM

I read an article a few days ago as to why the prices went up and will continue to climb. When the economy began to decline less pork was being sold, hog farmers began thinning their herds starting in 2007 through 2008. Now that more people are beginning to purchase more pork, the supply is low, therefore the prices are higher. They should begin to decline once the farmer begin to build up their herds again.

BuyLowSellHigh · August 06, 2010, 02:48:16 AM

HabS, I think you are dead on. We saw the same thing happen in beef prices for that very reason. During the 2008-2009 meltdown many cattle ranchers sold off their herds and some went out of business. When consumer demand started to return we saw cattle futures prices quickly rise 10-12 %.

While meat prices jumped over the past year, the current big story is wheat. Since June wheat futures have jumped up 60-80 %! The culprit here is a marked decrease in exports from Russia - a major grain exporter - due to the drought they are experiencing. The issue with wheat, unlike meats, is that it shows up as a key ingredient in so many processed foods, many of them commonly thought to be the low cost staples. I suspect we will soon see the ripple effect show up in bread, pasta, cereal, pizza, etc., prices.