Publisher's Synopsis
Excerpt from Poultry and Egg Situation: April 1972; Pes-271
Seasonal production increases will hold spring egg prices to near or slightly below year-earlier levels. Substantial production gains for broilers and turkeys will limit price increases for poultry meat this spring and keep prices near those of 1971. On the plus side for poultry markets are reduced pork supplies, larger per capita disposable incomes, and relatively high red meat prices.
January-march egg production averaged percent above the same months of 1971. Output will increase seasonally this spring and run about at 1971 levels before dipping during the summer and fall. Productivity increases likely will be moderate and the laying flock size will continue to ease off. The laying flock on April 1 was down 1 percent from last year and probably will continue to decline slowly, relative to 1971.
The rate of lay during March was more than 2 percent above a year ago. Marek's disease vaccine has been in widespread use for the past year and most of the current flock has been vaccinated. The rate of lay is likely to continue above a year earlier, but the margin may narrow.
Egg prices are low as production continues large and demand weak. Producer prices rose from 29 cents a dozen in mid-february to 32 cents in mid-march, up slightly from 1971, before falling sharply the week before Easter. Wholesale prices for Grade A large eggs in New York averaged 36-37 cents a dozen in mid-march, then dropped to 26 cents for the week following Easter. Egg prices usually strengthen as Easter approaches, then decline as Easter demand is filled but the drop normally is not so severe. Prices will likely continue weak this Spring, as production increases seasonally, then rise more than usual in the summer with some easing in production. Prices for the second half of 1972 are likely to average moderately above the low prices a year earlier.
Record broiler meat output in january-february in Federally inspected slaughter plants averaged 10 percent above the same months of 1971. However, there were 2 more slaughter days this year. Daily output was up only 5 percent. Weekly slaughter reports indicate that output during March was up about 5 percent and chick placements suggest spring broiler supplies will be up 8 percent. The margin over 1971 has narrowed in recent weeks and placements for the week of April 8 were up 5 percent compared with 10 percent in early February.
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