Pork Insight Articles

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Author(s): R. Plain
Publication Date: May 6, 2011
Reference: Advances in Pork Production, Volume 22. 2011.
Country: Canada

Summary:

Increased taxation and regulation in the USA could affect pork producer costs through biofuels, environmental issues, animal rights, pharmaceuticals,international trade, finances, and competition. Biofuel policy gives ethanol manufacturers an advantage for obtaining corn, and as a result there is less corn available for agriculture and feed prices increase. So far environmental policies have been complied with, but if the Environmental Protection Agency implements new regulations on runoff and dust costs could rise to follow restrictions. Animal welfare issues, the use of antibiotics, and the use of other drugs are coming under public scrutiny, and may lead to reforms either voluntarily or implemented by the government. Reduced trade barriers could be beneficial for exporting, but also means other countries will be able to import pork to North America easier as well. Exchange rates will have an impact on import and export, and new rules by USDA/GIPSA could affect competition between large hog companies.

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