Bacon frying in a pan.
Zachary Zirlin / Eyeem | Eyeem | Getty Images
Wholesale pork belly prices are on the rise, reaching near-record highs due to a combination of new animal welfare regulations in California and peak summer demand. The prices have surged over 100% year-to-date, jumping from 131.59 cents per pound in January to 270.89 cents per pound at the end of July. This is just shy of the all-time high of 279.97 cents per pound in August 2021. Consequently, bacon prices are also expected to increase.
Affect of California’s Animal Welfare Law
Experts predict that bacon and pork prices, particularly in California, will become very expensive due to the new animal welfare regulation, known as Proposition 12, which went into effect on July 1. The law prohibits the sale of pork from farms that confine pregnant sows in small enclosures. This regulation has significantly impacted pig farmers who were not adequately consulted during its development. The increased costs associated with meeting the new housing requirements will likely deter many pork producers, ultimately leading to higher prices for consumers.
Seasonal Factors and Lower Pork Production
The surge in pork prices is further compounded by the seasonal demand for bacon during the summer, commonly referred to as “BLT season.” Additionally, pork belly prices typically peak in July and August. This year, the decrease in pork production during this time of the year, coupled with increased demand, has resulted in tightened supply and higher prices. However, experts predict that prices will start to decrease in the second half of the year.
It’s worth noting that the United States is the world’s second-largest exporter of pork.
According to data from the United States Department of Agriculture, sliced bacon prices in major U.S. retailers are currently 6% higher compared to the same period last year.
Denial of responsibility! VigourTimes is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
