Across the nation more than a thousand counties are able to use emergency haying and grazing laws. With 61 percent of the continental US in some form of drought – according to the U-S drought monitor -more states are applying for emergency rules that allow them to graze animals or harvest hay on Conservation Reserve Program acres. Only counties in a D2 or Severe drought can access the acres. That means around 35% of the US right now is able to use the emergency rules.
SUPCO refuses review
The US Supreme Court denied a petition to review a California farm law. Proposition 12 creates a minimum space requirement based on square feet for calves raised for veal,breeding pigs and egg-laying hens. It bans the sale of animals not raised in that area.
Agriculture groups fought against the law saying it violated states rights and commerce and put a burden on out-of-state farmers who would not have a political voice. However, the Supreme Court denied the petition without giving a ruling.
A look at the markets
Grains are lower before the report. Market analyst Jamey Kohake has the details:
“Starting the morning off with a lot of red across the whole entire row crop sector, pre report corn down 10-15, beans down 15-17. Just seeing some long liquidation ahead of the big report we’re going to see here soon and just a risk off deal. Looking for heavy volatility post report and then again next week getting through the weekend. Then we also got other issues down in South America, they had a decent freeze across the second corn crop, it wasn’t a great crop already and quite a bit froze off. So carryout is getting tighter. Over to the meat sector feeders a bit higher with sharply lower corn fats 60-80 lower. Hogs are mixed as well just lots of talk the boxes are sliding lower got a short kill week next week and seasonally bearish time period for the cattle to drain lower. Hogs seeing a bit of profit taking after kind of a little bit of a dead cat bounce just still thinking longer term 3-6 dollars on the market, but everything’s lined up with the quarterly stocks and acres numbers and looks to be a volatile next two to three weeks.”
China plans to buy pork for its state reserves..
In an announcement this week… Chinese officials say the plan is to support prices.. which rebounded sharply after reaching a two year low recently..
Hog prices plunged over there nearly 65 percent in the first half of 2021 alongside its disease outbreaks..
Now China reports prices in excessive declines this past week.. However.. it does not show how much pork is in its reserves.. or how many new purchases there are..
So far in 2021.. China has bought nearly two million metric tons of pork..