Why have bacon prices gone sky high?
Other pork products haven’t risen so sharply in price.
Surely the US hasn’t gone <snort> hog wild ?!? 
Seriously, why has bacon gotten so expensive?
I’m no pig professor, but when I googgled this topic, I turned up one interesting quote:
“Export demand continued very strong in the first month of 2005. Pork exports in January were almost 25% above a year earlier. Pork imports for January 2005 were down more than 7%. Net export of pork for January 2005 was up 76% compared to 2004.”
http://www.thepigsite.com/LatestNews/Default.asp?AREA=LatestNews&Display=9147
It appears that Q1 2005 prices are indeed up around 20% from Q 2004 prices.
And another gentlemen argues that the increase stemmed mostly from “improved retail pork demand”, but to a lesser extent from “improved pork trade”.
If you look at the chart from my other post, it looks like we’re paying as much for pork now as we will pay for it within the next 12 month.
I feel your pain though. My grocery shopping has not gotten any more economical this year, that’s for certain.
Quote:
"Since pork supplies do not appear to be a threat to hog prices for the rest of the year, pork demand will again be the primary feature of discussion for 2005. In 2004 pork demand led markets to average about $52.50 per live hundredweight based upon 51% to 52% lean hog carcasses. This was about $13 per live hundredweight higher than in 2003. Improved pork trade accounted for about $3 of the $13 higher prices. The other $10 was a result of improved retail pork demand, which accounted for about $5 higher prices, and narrow marketing margins, which were also about $5. " <1>
Cites
<1> http://www.thepigsite.com/LatestNews/Default.asp?AREA=LatestNews&Display=9146
If you wish to hedge your exposure to further fluctuations in bacon prices, you may wish to consider trading in frozen pork belly futures on the Chicago Mercantile Exchange.
But be aware that the trade unit is 40,000 pounds of frozen pork bellies (cut and trimmed). If the market goes against you and you’re forced to take delivery, you’ll need to clear out some serious space in your freezer.
The price of bacon is determined by supply and demand.
Plus, there was that devastating november frost in Baconistan. They lost nearly 70% of the year’s crop.
All us Atkins dieters are enjoying bacon omelets?
I’d just like to point out that there’s a fixed amount of bacon per pig, so if demand for bacon rises without a corresponding rise in the demand for ham, porkchops, sausage, etc., then you’re going to see an increase in the price of bacon relative to the price of other pork cuts.
The dollar has been losing in value compared to foreign currency, which is good for American farmers, producers, and distributors. That is because the X ounces of bacon that used to cost 1.30 euros now costs only 1.00, while European-produced bacon still costs 1.30. So American wholesalers/distributors can get more money for it in Europe.
You’d have to look up the dollar/euro ratio over the time period you’re talking about to see how much this was a factor.
Economics is the field of study of John Nash, who was played in “A Brilliant Mind” by Russell Crowe, who starred in “L.A. Confidential” with James Cromwell, who starred in “Babe” with a pig, from which we get…bacon!
It’s those damn gas-powered pigs driving the prices up again.
[nitpick]
It’s A Beautiful Mind.
[/nitpick]
Mmmmm…bacon.
Well, that’s one problem we won’t be blaming on the Middle Eastern people.
I have no information about the OP, but I’d just like to point out that the thread should have been titled “baconomics.”
Thank you.
Isn’t “baconomincs” the cut-rate bacon bits substitute people sprinkle on salads?
The one with no real bacon in it?
The one made from recycled Walter “The Refridgerator” Perry Action Figures?
You say this every damn time a thread like this comes along. With no additional information like submitted by others in this thread, concerning changes in either the supply or demand, it is useless. Also since we are talking about agricultural products in the US there is probably some amount of government mucking about with the prices. So it might not be even accurate.
MMmmm…Bacos.
No, it’s dictated by the Secret Jewish Pork Cabal.
Which, in turn, is run by William Shatner, the kosher ham.
Who answers to his overlords in The Lumber Cartel, who are, ironically, anti-spam.
Wheels within wheels, my friend.