Medium spareribs have fallen to multi-year lows in recent sessions; this after reaching an all-time high last summer.
Sparerib trade can be quite volatile given the build-up to peak consumption season which falls between Memorial Day and Labor Day. Fresh production during this time is insufficient to meet peak needs, so retailers, processors and packers all must take-on some risk by freezing spareribs in the months before and after.
This year, the market had been tracking the 5-year average very closely, but fell sharply in June as a series of factors converged. Grocery chains appeared bought-in or well-prepared for the demand period. At the same time, changes in consumer preference, such as a better call for loin back ribs and attractive beef prices all played a role in the sudden decline in medium spareribs.
Russell Barton & Jim Kenny
Urner Barry
52-Week Average: $1.51/lb. 52-Week High: $1.79/lb. 52-Week Low: $1.24/lb. Since 1993-High: $2.12/lb. (6/17/15) Since 1993-Low: $0.70/lb. (1/31/95)
- Information from Urner Barry Comtell
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