Rabobank Group says Porcine Epidemic Diarrhea Virus (PEDv) will cause significant two-year shortfalls in the North American hog market.
The firm’s Food & Agribusiness Research and Advisory team reports PEDv has already impacted 60 percent of the US breeding herd, 28 percent of the Mexican breeding herd and is “beginning to develop in Canada.” If PEDv spreads at a similar rate in Mexico and Canada as in the US, Rabobank says North American hog slaughter could decline by as much as 12.5 percent relative to 2013 levels. US pork production is expected to decline 6 to 7 percent in 2014, representing the largest drop in over 30 years.