MEXICO - Grain prices are still steady with the same decreasing trend in USD as it was mentioned in previous months. These prices have adjustments in Mexican Pesos, writes Carlos A. Peralta – President, Genesus México.
Finally, in their last meeting, FED has announced no changes on interest rates (maybe until the last days of the year) fix by them. This measure will bring some stability to the currencies exchange rate volatility occurred in the world over the last few months in the developing markets.
The Mexican Peso/USD exchange rate for interbank transactions finished at $16.64 Mx/USD but buying directly in Banks or in the International Airport of Mexico City, the exchange rate fluctuate between $16.90 to $17.05 Mx/USD.
The Central Bank of Mexico is considering increasing the interest rates to avoid the money transfer from Mexico to the US due to a higher interest rate in USD than in Mexican Peso. The trend and macroeconomics assumptions indicate the Mexican Peso could close 2015 below $17.00 Mx. per USD.
The pig production cost has being maintained constant in spite exchange rate fluctuations. Today the average national sales price in USD per pound is as follow. USD/Lb. or Mx/Kg.
The life slaughter price in some Mexican Regions is as follow:
(USD per pound and Mexican Pesos per Kg.) At September 18th. 2015
In the previous chart, you can observe a liveweight price difference between the highest (Queretaro) and lowest (Sonora) prices of $0.1386 USD/Lb ($5.20 Mx/Kg).
Actually in the metropolitan area of Mexico City, the National slaughter price was $0.6685 USD/Lb ($25.08 Mx/Kg) and for the Imported animals in Missouri USA at $0.4568 USD/Lb., but the same product in Mexico City at $0.6197 USD/Lb (($23.25 Mx/Kg), so the difference between them is $0.0488 USD/Lb or 7.3% lower the imported slaughter pig.
During the last weeks, the slaughter price has presented an increasing trend due the Mexican Peso vs. USD adjustments. Another important seasonal that positively affects pork price is the start-up of the school year.
Owing to the actual slaughter prices, the pig producers in the Country have had variable results related with the region where they are located or where they sell their production, in spite the average production cost is almost the same.
Profits/Losses per slaughter pig at 255 Lbs (115 Kg)
The results showed in the previous chart are considered as direct results with an average production cost per pound of $0.5330 USD ($20.00 Mx/Kg.
XIV Swine Production Encounter
It was celebrated from September 9th to 12th in Merida, Yucatan the XIV Swine Production Encounter. This meeting had a high participation from pig producers around the Country.
The event was inaugurate by the Minister of Agriculture (SAGARPA), Lic. Jose Calzada former Queretaro Governor.
October 1st. will start DVM Francisco Dominguez as new Governor of the State of Queretaro. He has been pig producer during most of his professional life.
IV National Pig Producers Council Congress
We will celebrate from October 28th. To 31st. the IV National Pig Producers Council Congress in Nuevo Vallarta. We invite to all the people interested in the Pig industry advances to participate in this meeting.
Genesus México reminds you the availability of semen doses from our new A.I. Stud in partnership with Semen Cardona México, were you can ask for semen from two maternal lines (Genesus-Yorkshire and Genesus-Landrace) and Genesus terminal Line (Genesus-Duroc).
It´s the right moment to try to use Genesus semen doses genetic improvement offered to the pig industry from our A.I. Stud based in Mexico.
To find out more about Genesus Genetics, please take the time to visit their website at www.genesus.com .