Despite the possible impacts of the spread of Porcine Epidemic Diarrhea virus (PEDv) in the U.S., Mexico, and now Manitoba, Canada, Rabobank states that the outlook for the global pork industry will be steady and with lower feed costs, farmers should see positive margins. Rabobank expects the effects of the spread of PEDv to be more severe in the U.S. than the U.S. Department of Agriculture putting pressure on export volumes and hampering growth in 2014. PEDv outbreaks emerged in Mexico in the third quarter of 2013 and in January 2014 in Manitoba, Canada – the third largest pork exporter after the U.S. and the EU. If Mexico can contain the spread of the virus, the country’s new program to increase inventory through genetic improvements and to increase exports through higher quality gives an optimistic outlook for the industry. Pork imports in Japan fell 10.9% from January through November because of the depreciation of the yen. In Korea recovery will continue in the sector in 2014 as domestic production stabilizes and imports decline after the swine fever outbreak that started in April 2009. The EU pork industry can expect a positive outlook in the first half of 2014 based on elevated prices, lower feed costs, slightly increased production, and slightly higher consumption and exports.
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