Review of April 2019 Production Costs and Statistics.

05/14/2019
  • April 2019 USDA Ex-Farm Benchmark Price Down 34.6 Percent from March 2019 to 39.7 cents per dozen Consistent with Seasonal Trends and Oversupply.

  • April 2019 USDA Average Nest-run Production Cost 1.4 Percent Lower than March 2019 at 59.5 cents per dozen.

  • April 2019 USDA Benchmark Nest-run Margin Decreased from March 2019 to Loss of 19.8 cents per dozen.

  • April National Flock ( over 30,000 hens/farm) Up 6 million or 1.9 percent to 325.3 million.

INTRODUCTION.

Summary tables for the latest USDA April 2019 prices and flock statistics made available by the EIC on May 12th 2019 are arranged, summarized, tabulated and reviewed in comparison with values from the previous April 9th 2019 posting reflecting March 2019 cost and production data.

 

COSTS & REVENUE

Note:

From January 2019 onwards EIC has used USDA-AMS data for regional corn, soybean and standard feed prices. The basis for corn will be cash payment except for California (10-day delivery) and Louisiana and Oregon (30-day delivery). For soybean meal a similar approach is applied with 20-days for Minnesota. It is noted that January 2019 prices are not directly comparable with December 2018. Month-to-month comparisons in 2019 will be valid.

 

Parameter

MARCH 2019

APRIL 2019

5-Region Cost of Production ex farm (1st Cycle)

60.28 c/doz

59.45 c/doz

Low

56.03 c/doz (MW)

55.77c/doz (MW)

High

79.11 c/doz (CA)

77.98 c/doz (CA)

Components of 6-Region 1stCycle Cost of Production:-

 

MARCH 2019

APRIL 2019

Feed

31.36 c/doz

30.63c/doz

Pullet depreciation

10.96 c/doz

10.86 c/doz

Labor (estimate)

4.00 c/doz

4.00 c/doz

Housing (estimate)*

5.00 c/doz

5.30 c/doz

Miscellaneous and other*

8.97 c/doz

8.66 c/doz


* Adjusted February 2019

Ex Farm Margin according to USDA values reflecting APRIL 2019:-

39.7 cents per dozen1- 59.45 cents per dozen = -19.75

(MARCH 2019 comparison 60.7 1 cents per dozen - 60.3 cents per dozen = +0.4 cents per dozen.)

Note 1: USDA Blended egg price

   

MARCH 2019

APRIL 2019

USDA

Ex-farm Price (Large, White)

60.7 c/doz

39.7 c/doz

 

Cage-free to packing plant

150.0 c/doz

156.0 c/doz. (negotiated 119.0)

 

Warehouse/Dist. Center

91 c/doz (Feb.)

74.0 c/doz (March)

 

Store delivered (estimate)

96 c/doz (Feb.)

79.0 c/doz (March)

 

Dept. Commerce Retail

155.7 c/doz (Feb.)

155.4 c/doz (March)

Layer Feed Cost

MARCH 2019

APRIL 2019

See note on source of data: now USDA

U.S. Average

$199.77/ton

 

$195.12/ton

High

$231.66/ton (West)

$225.31/ton (West)

Low

$175.95/ton (MW)

$174.48/ton (MW)

Differential

$ 55.71/ton

$ 50.83/ton

Pullet Cost (19 Weeks) $3.80 MARCH 2019 $3.77 APRIL 2019

 

VOLUMES OF PRODUCTION

 

PARAMETER

MARCH 2019

APRIL 2019

Table-egg strain eggs in incubators

53.4 million

58.1 million

Pullet chicks hatched

26.6 million (Feb.)

27.8 million (March)

Pullets to be housed in 5 months

26.1 million (July)

25.1 million (Aug.)

     

National Flock in farms over 30,000

319.3million (Feb.)

325.3 million (March)

National egg-producing flock

336.8 million (Feb.)

340.7 million (March)

     

Proportion flock in molt or post-molt

15.3% (Feb.)

15.0% (March)

Total of hens in flocks over 30,000, 1st cycle (estimate)

270.5 million (Feb.)

276.5 million (March)

* No December data

Total U.S. Eggs produced

7.52 billion (Feb.)

8.42 billion (March)

Cage-Free hens in production

61.9 million (March)

24.2% Organic

66.4 million (April)

23.6% Organic

"Top-5" States hen population (USDA)

160.0 million (estimate*.)

165.7 (March)

* Texas excluded to maintain confidentiality

PROPORTION OF U.S. TOTAL HENS BY STATE, 2018

Based on a denominator of 325 million hens in flocks over 30,000.

USDA has amended inclusion of specific states in regions and eliminated Texas data to protect confidentiality of Company flock sizes

 

STATE

FEB. 2018

MARCH 2018 1

Proportion by region (FEB. 2019)

Iowa

17.4%

17.7%

MW 53.7%

Indiana

10.7%

10.5%

NE 10.4%

Ohio

10.1%

11.0%

SE 6.7%

Pennsylvania

8.0%

7.8%

SC 5.2% (exc. TX)

Texas (estimate)

5.8%

?%

CA 4.1%

California

4.1%

4.0%

NW 2.9%

1. Values rounded to 0.1%

Rate of Lay, weighted hen-week (USDA) 79.3% (MARCH) 80.1% (APRIL)

Actual USDA-ERS 2016 U.S. per capita annual egg consumption post HPAI:- 271.6 eggs (+15.8 from 2015)

Actual USDA-ERS 2017 U.S. per capita annual egg consumption:- 276.3 eggs (+4.7 from 2016)

Estimated USDA-ERS 2018 U.S. per capita annual egg consumption to be:- 278.8 eggs (+2.5 from 2017)

Projected USDA-ERS 2019 U.S. per capita annual egg consumption to be:- 279.8 eggs (+1.0 from 2018)

Egg Inventories at beginning of APRIL:

Shell Eggs: 2.02 million cases up 17.8 percent from March.

Egg Products: 2.92 million case-equivalents up 12.1 percent from March.

Eggs broken under FSIS inspection (million cases) FEBRUARY 6.360 MARCH 6.833

Cumulative 2019: number of cases produced (million) 67.259, MARCH

Cumulative 2019: proportion of total eggs broken 30.0%

 

EXPORTS: MARCH 2019 Data.

 

Parameter

Quantity Exported

Exports:

 

Shell Eggs (thousand cases)

FEB. 174 MARCH 387

Products (thousand case equivalents)

FEB. 271 MARCH 283

TOTAL (thousand case equivalents)

FEB. 445 MARCH 670

*Representing 2.9 percent of National production in March 2019.

 


















































































































































































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