TOP STORIES

Faster Meat Plants Can Be Safer, USDA Says -- Market Talk

11:09 ET - Under nearly proposed USDA rules, hog slaughterhouses would be able to process up to 1,295 hogs per hour, versus the current limit of 1,106, but agency officials say the shift wouldn't put meat plant workers at greater risk for cuts and injuries. In its proposed rule, USDA says it compared injury rates from 2002 to 2010 at conventionally operated pork plants with those in a pilot program allowed to run at the faster speed, and found that the pilot-program plants had "lower mean injury rates," though the agency acknowledges a higher rate of automation at the faster plants. (jacob.bunge@wsj.com; @jacobbunge)

Critics See Food Safety Risk in USDA's Pork Rules -- Market Talk

11:20 ET - Critics say pork chops, hams and bacon could come to harbor more dangerous bacteria under the USDA's proposed change to pork plant inspection rules. Washington-based Food and Water Watch points to a 2013 Inspector General audit of the USDA's meat inspection system, which found high rates of noncompliance records among plants participating in a pilot program for the proposed new rules, and blamed the USDA's "lack of oversight" in assessing whether the pilot program had improved food safety. "It is irresponsible for the USDA to expand a radical change to food safety responsibility in the pork industry based on a pilot program that clearly failed to show that allowing companies to inspect themselves can produce safe food," says Wenonah Hauter, the group's executive director. (jacob.bunge@wsj.com; @jacobbunge)

STORIES OF INTEREST

FDA Seeks to Improve Food Recall Process -- Market Talk

11:46 ET - A month after HHS' Office of Inspector General found serious flaws in FDA's food-recall process, the agency is out with guidance for the food industry on how better to ensure the safety of the US food supply. FDA in a draft document outlined current expectations for food companies handling recalls, and also new steps its taking, like posting recalls to a weekly online report earlier than in the past. To speed its public notification process, FDA says it will post a recall before it's made a determination over the seriousness of the health risk. In some cases, it also will begin publishing the names of specific stores that sold food that was eventually recalled, said FDA Commissioner Scott Gottlieb, adding that further improvements to the agency's oversight of food safety are forthcoming. (jesse.newman@wsj.com; @jessenewman13)

Corn, Soybean Futures Climb on Strong Exports

Corn and soybean futures rose Friday, boosted by stronger-than-expected export sales.

The U.S. Department of Agriculture said Friday morning that exporters sold 1.89 million metric tons of corn and 1.53 million tons of soybeans in the week ended Jan. 11. Those were both above the range of pre-report analyst estimates.

FUTURES MARKETS

Cattle and Hog Futures Fall

Cattle futures slid, ending a multiday winning streak as traders waited for cash trades to guide the market.

Contracts for live cattle rose for five consecutive days, before sliding on Friday. Futures traders had anticipated that the week's cash, or physical cattle, trade would trend higher this week.

CASH MARKETS

 
Estimated U.S. Pork Packer Margin Index - Jan 19 
 
All figures are on a per-head basis. 
 
Date     Standard Margin       Estimated margin 
         Operating Index         at vertically - 
                             integrated operations 
                                      * 
Jan 19       +$18.32             +$ 42.80 
Jan 18       +$18.25             +$ 41.72 
Jan 17       +$16.04             +$ 41.23 
 
* Based on Iowa State University's latest estimated cost of production. 
A positive number indicates a processing margin above the cost of 
production of the animals. 
 
 
Beef-O-Meter 
This report compares the USDA's latest beef carcass composite 
values as a percentage of their respective year-ago prices. 
 
                                 Beef 
          For Today             Choice  106.9 
      (Percent of Year-Ago)     Select  106.8 
 
USDA Boxed Beef, Pork Reports 

Wholesale choice-grade beef prices Friday fell 83 cents per hundred pounds, to $204.86, according to the USDA. Select-grade prices fell 71 cents per hundred pounds, to $200.16. The total load count was 105. Wholesale pork prices rose 50 cents, to $80.31 a hundred pounds, based on Omaha, Neb., price quotes.

(END) Dow Jones Newswires

January 19, 2018 17:32 ET (22:32 GMT)