PORTAGE LA PRAIRIE, Man. – The Asian flu has erupted into a case of better prices for Manitoba hog farmers.
Pork experts say the Asian currency currency has brought on a weakened Japanese yen relative to the American dollar, prompting meat importers to seek supplies in Manitoba instead of the United States.
“The result has been that Manitoba’s exports to Japan have nearly doubled,” said Perry Mohr with Manitoba Pork.
That means U.S. processors are fighting hard to keep Manitoba hogs coming down to the United States, and that’s good news for producers.
Mohr said Manitoba recently settled new contracts with the province’s four processors, which will mean higher returns to farmers.
“Some competitive issues have come up in the last three months that have resulted in significant changes to the formula prices so they more closely reflect U.S. values,” Mohr said, adding the contracts include new grading tables reflecting a tighter market.
The U.S./Manitoba price differential has shifted from $20 to an average of $14 so far this year.
