U.S. commercial pig meat production in 2012 is forecast at 23.1 billion pounds, up conservatively from 2011's projected 22.6 billion pounds, according to the U.S. Department of Agriculture.

The September 1 Quarterly Hogs and Pigs report showed that the U.S. hog inventory was up 1% year-over-year. The breeding herd was shown to be up 0.6% year-over-year, and producer’s first farrowing intentions for December-February were 2.857 million, up just 0.5% year-over-year, which may indicate that the industry is cautious about any expansion plans, according to the USDA.

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Pork exports in 2012 have been revised down to 5.09 billion pounds, still up 2.8% from projected 2011 export levels. August 2011 pork exports were year-over-year 43.6% higher.