In The News This Month – June 2022




Iowa, Indiana, Ohio, Pennsylvania, Texas… what do these states all have in common? They are the largest egg producing states in the country, with the top three producing more than 10 billion eggs each during this past year! Some states on the Top 10 list might surprise you, be sure to check out the article posted by WattPoultry last month. While these states are busy managing their layers, some states are taking on California’s Prop 12. Attorneys General from 26 states are imploring the Supreme Court to overturn a decision that upheld California’s Prop 12. The American Farm Bureau Federation and the National Pork Producers Council (NPPC) claim Proposition 12 violates the constitution and will create burdens in interstate commerce. Even the Biden administration has thrown their support to the NPPC and the American Farm Bureau Federation by filing a brief to defend the ability for states to not rule what other states can and cannot do. It is easy to understand why we are still reading about Prop 12 so late in the year. It was a controversial proposition when it was introduced in 2018 and it is still, if not more, controversial 4 years later.

Almost a year ago, we featured an article detailing the Sanderson Farms acquisition. The agreement was between Continental Grain Co. and Cargill to acquire Sanderson Farms for $4.5 billion. Recently, Sanderson Farms acknowledged that the proposed joint venture has been delayed and probably would not be completed during the first half of 2022. We know that the Department of Justice asked for additional information on the deal, which is probably part of the reason for the delay.

As we enter the second half of 2022, we can reflect on some of the consumer trends that were popular this year. WattPoultry recently featured the Top 10 most read poultry consumer trends. Reading through the list, I may have missed some of these trends. For example, did anyone catch the article on why we should care what influencer, Kylie Jenner’s thoughts are on animal agriculture? Or did you catch the one about doctors warning against the dangers of the TikTok’s sleepy chicken trend (this one I do remember!)? The two that stood out for me so far this year were how the war in Ukraine will affect chicken consumption and Mexico once again breaking the world per capita egg consumption record. It will be interesting to see what new trends gain popularity in the second half of the year.

Many of us probably started working on our summer fitness routine long before June, but are we as healthy as we think? According to research presented at the annual meeting of the American Society for Nutrition, people tended to rank their diet as healthier than it really was. 71% of participants of a questionnaire ranked their diet as good or excellent, but only 12% ranked high in terms of healthy eating. Apparently, we do great when it comes to protein, but lack whole grains, greens, legumes and more. It seems that U.S. adults lack understanding of what comprises a healthy diet.

A lot of people would consider El Pollo Loco on the healthier side of fast-food establishments. However, would you be more encouraged to go if grandma was suggesting it? El Pollo Loco recently launched the “Abuela Approved” campaign that aims at targeting new and existing fans on TikTok. In a series of videos on TikTok, “abuela” shares her sassy commentary on a range of pop culture topics, social media trends, and El Pollo Loco’s menu. While TikTok is still like a foreign language to a lot of folks, if you’re a marketer it is a median that shouldn’t be ignored. Buzz on the social media platform is a great way to attract the attention of the younger consumer. My abuela was an amazing cook and an excellent provider of unsolicited advice, she probably would’ve been a sought-after TikTok influencer.


Monica Lizar

Account Manager

Aeros, a Cultura Company


Feed and Grains:


USDA’s Grain Stocks Report Shows Farmers Are Holding Onto Old Crop Corn And Soybeans

USDA’s June Grain Stocks report typically takes a backseat to the agency’s June Acreage Report released the same day. This year, analysts were watching the report closely for any indication on why some areas are seeing such strong cash grain bids to start the summer, but they didn’t see any major surprises.

The main takeaways from USDA’s June Grain Stocks report include:

  • Total U.S. corn stocks up 6% from June 2021
  • Soybean stocks up 26% compared to last year
  • All wheat stocks down 22% from June 2021

The grain stocks numbers for each crop were in line with pre-report trade estimates, and as one analyst pointed out, that’s typically not the case with this report.

“That was probably the most neutral grain stocks report I’ve seen in four decades, really — fewer than 5 million bushels off of trade expectations across the board,” says Arlan Suderman of StoneX Group. “There were no real surprises, and it’s really kind of surprising that we can see any type of stocks report come so close to what the trade is expecting. This report really keeps the focus on the acreage and the weather.”

Read full article here


FEFAC concerned about raw material supplies in six months

A main concern for the European feed industry is what the world supply situation will look like six months from now, said Asbjorn Borsting, president of FEFAC, during a press conference with journalists.

“Looking at the impact of the Black Sea situation and Ukraine production, you probably have supply enough for most of the raw materials until sometime after New Year’s,” he said. “But then the situation, depending on the harvest in Ukraine and depending on logistical bottlenecks, it could be critical.”

Borsting spoke in between sessions of FEFAC’s Annual Public Meeting, which was collocated with VICTAM International on June 2 in Utrecht, Netherlands.

He’s concerned about process developments of some commodities come spring 2023, especially if yields go wrong in some parts of the world.

Read full article here




Which states produce the most eggs?

Iowa, Indiana and Ohio were the three largest egg producing states during the past year, with each state producing in excess of 10 billion eggs during the past year.

In the most recently released United State Department of Agriculture (USDA) Poultry – Production and Value report, revealed the number of eggs produced in each of the major egg production states. Those numbers were compiled by the USDA National Agricultural Statistics Service (NASS) from December 1, 2020 through November 30, 2021.

The 10 largest producers and the number of eggs produced in those states during this period are:

  1. Iowa – 14,980,300,000
  2. Indiana – 10,606,800,000
  3. Ohio – 10,456,000,000
  4. Pennsylvania – 8,111,000,000
  5. Texas – 6,420,500,000
  6. Georgia – 5,064,200,000
  7. Michigan – 4,541,900,000
  8. Arkansas – 4,248,700,000
  9. North Carolina – 4,093,600,000
  10. California – 4,019,600,000

Read full article here


Egg Week

USDA Weekly Egg Price and Inventory Report, June 29th, 2022



Market Overview

Average wholesale unit revenue for Midwest Extra-large and Large sizes was higher by 23.6 percent from the past week continuing a three-week upward trend reversing a previous mild four-week downward trend. Mediums were up by 19.1 percent. This follows depletion of more than 31.4 million hens mainly in 13 large complexes in nine states from the last week in February through the first week in June. The increase in price for all sizes and for breaking stock this past week occurred concurrently with a 1.6 percent decrease in industry shell-egg inventory following a 3.4 percent decrease last week. This suggests continuing orders by chains to replenish the retail pipeline in the face of sustained demand as consumers seek value. Retail sales are projected to be stable or slightly higher over the short term given the proximity to the July 4th In the unlikely event of additional cases of HPAI, availability will be more severely impacted especially in the breaking sector. Industry inventory decreased overall this past week to 1.65 million cases following the 1.6 percent decrease in shell eggs concurrently with a 9.1 percent decrease in breaking stock. Retailers are expected to maximize shelf prices in relation to demand. Wholesale unit prices during the first quarter of 2022 and the subsequent three months to date contrasted favorably with the corresponding periods in both 2020 and 2021 that were characterized by low ex-plant unit revenue. Wholesale Midwest prices are still yielding unusually high positive margins, despite the higher combined costs of nest-run, (feed, chicks, labor and fuel), grading, packaging and delivery amounting to approximately 50 cents per dozen according to the EIC.

Read full article here


White House, 26 Attorneys General Urge SCOTUS to Overturn Prop 12

Opponents to California’s Proposition 12 have circled the wagons in preparation for oral arguments before the U.S. Supreme Court on Oct. 11.

The Biden administration, the U.S. Solicitor General and the attorneys general from 26 states are urging the high court to overturn a 9th Circuit Court of Appeals decision that upheld California’s novel law that bans the raising or importing of pork, veal or eggs to California if the animals are confined.

California voters approved Proposition 12 with 63% of the vote in 2018, and the law went into effect Jan. 1 of this year. Specifically, the law established minimum space requirements based on square feet for veal calves, breeding pigs and egg-laying hens. It banned the sale of products from those animals if they were “confined in a cruel manner,” defined as in areas below minimum square-feet requirements. The rules applied to California producers and those outside the state who wished to sell their products in California.

Read full article here




Sanderson Farms acquisition delayed

In a recent 8-K filing with the Securities and Exchange Commission (SEC), Sanderson Farms acknowledged that the company’s proposed joint venture would not be completed during the first half of 2022.

The agreement between Continental Grain Co., and Cargill to acquire Sanderson Farms for $4.5 billion was first announced in August 2021. The plan is to merge Sanderson Farms with Wayne Farms, a subsidiary of Continental Grain.

Read full article here 


El Pollo Loco’s Abuela dispenses chicken wisdom on TikTok

There’s a new grandmother in town and she’s sharing all of her unsolicited hot takes and cheeky commentary on chicken. 

The “Abuela Approved” campaign from El Pollo Loco, acknowledges the unique bond between grandparent and grandchild, with a heavy dose of relatability. In the series of TikTok videos, Abuela shares her sassy commentary on a range of buzzworthy pop culture moments, social media trends and El Pollo’s L.A. Mex cuisine. 

Food is how many grandparents show their love, even if they do it in unconventional ways. For example, in my family, my father is famous for the grilled cheese and tomato soup that he makes for his grandsons, my nephews.

And, as much as we love our grandparents, we’ve all been on the receiving end of unsolicited, but well-meaning advice.

Read full article here 


Top 10 poultry consumer trends of 2022 (so far)

Click here to read the 10 most-read poultry consumer trends during the first half of 2022





Monthly Turkey Production and Prices, June 2022

The June 15th 2022 edition of the USDA Turkey Hatchery Report, issued monthly, documented 26.07 million eggs in incubators on June 1st 2022 compared to 25.96 million eggs on June 1st 2021* The June set was up 0.4 percent (0.11 million eggs) from June 2021 and 2.0 percent down from the previous month of May 2022.

A total of 22.60 million poults were hatched during May 2022 compared to 20.91 million in May 2021*. The May 2022 hatch was up 8.1 percent (1.1 million poults) from the previous month of April 2022.



Read full article here


Turkey is a bird; Türkiye is a country

If you are involved in the poultry industry, odds are you have done a search on the Internet for turkey, intending to find something pertinent to the bird or the meat it produces, only to have a bunch of page suggestions pop up with information about Turkey, the country.

Then you try to clarify. You type in turkey meat, turkey feedturkey producers or turkey farm, and you still get a few suggestions regarding the nation.

I know it’s happened to me. But there have probably been many instances where the reverse happened.

That could change, at least eventually.

The United Nations (UN) announced that it officially changed the country’s name to Türkiye, per the request of the Turkish government. UN spokesman Stephane Dujarric, in a press release, said that a letter had been received on June 1 from the Turkish Foreign Minister Mevlüt Cavuşoğlu addressed to Secretary-General Antonio Guterres, requesting the use of “Türkiye” instead of “Turkey” for all affairs.

Read full article here




Biden administration supports pork producers in court filing

In a major win on the ongoing battle to defend pork producers from adhering to California’s Proposition 12’s space requirements for breeding hogs, the Solicitor General filed a brief in support of the National Pork Producers Council and American Farm Bureau Federation’s lawsuit. The brief is one of many filed in recent days in support of the need to uphold the Commerce Clause as the Constitution laid out and defend the ability for states to not rule what other states can and cannot do.

The solicitor general brief comes after nearly a dozen Democrat senators including Sen. Debbie Stabenow, D-Mich., asked for her to file a brief in support of California’s position. In addition to the support from the Biden administration, international trading partners and business groups filed amicus briefs in support of NPPC ahead of the Supreme Court scheduled oral argument date set for Oct. 11, 2022.

Read full article here


USDA launches ‘Protect Our Pigs’ campaign to prevent ASF

The United States Department of Agriculture’s (USDA) Animal and Plant Health Inspection Service (APHIS) has announced new efforts to prevent the introduction and spread of African swine fever (ASF) in the U.S. Through an outreach and awareness campaign called “Protect Our Pigs,” APHIS will support commercial pork producers, veterinarians and pig owners with information and resources to safeguard America’s swine population and the pork industry.

“African swine fever is already devastating pork industries and economies around the globe, and if detected in the U.S., it could ravage our swine population, nation’s pork industry, and farming communities,” said USDA Under Secretary for Marketing and Regulatory Programs, Jenny Lester Moffitt.

Read full article here




High court denies hearing for beef checkoff

The Supreme Court of the United States denied R-CALF USA’s lawsuit against 13 state beef councils and the beef checkoff. The lawsuit is one of two currently being brought through the court system challenging what R-CALF claims is unconstitutional speech. 

Bill Bullard, R-CALF CEO, explains while the organizatoni is obviously disappointed that their effort to force reforms to the beef checkoff has ended in the first of two lawsuits, R-CALF is grateful for the reforms it did accomplish for U.S. cattle producers.

“Our objective in this case was to bring an end to the corrupt manner in which the beef checkoff program was being operated. Specifically, we set out to stop the U.S. Department of Agriculture from unconstitutionally compelling U.S. cattle producers to fund the private speech of private state beef councils,” Bullard says.

Read full article here





House Ag provides oversight of dairy farm bill

The 2018 Farm Bill made substantial changes to the dairy safety net, and important evaluations are needed on the milk marketing order as Congress begins digging deeper into what changes are needed heading into the 2023 Farm Bill.

The House Agriculture Committee held a dairy oversight hearing to hear from USDA officials as well as a panel featuring dairy producers, processors and experts.

The last farm bill transformed the poorly functioning Margin Protection Program into what Marin Bozic, assistance professor of applied economics at the University of Minnesota, termed a “highly-effective” Dairy Margin Coverage program which indemnifies dairy producers when the national average income over feed cost margin falls below the coverage level chosen by the producer.

Read full article here


Dairy cooperative introduces milk pricing reform

After more than a year of research conversations with its members, participation in a multi-state task force and engagement with other stakeholders, one of the nation’s largest dairy co-ops, Edge Dairy Farmer Cooperative, unveiled two key policy priorities for milk pricing reforms centered around flexibility and fairness.

Discussions about the future of the federal milk marketing order (FMMO) system have increased in recent years, drifting from the Class I mover formula to negative producer price differentials (PPDs) to make allowances and beyond. The effects of the pandemic only intensified the debate.

Read full article here




Most People Think They Eat Healthier Than They Do

The researchers wanted to find out whether a single, simple question could be used as a screening tool for nutrition studies — to replace or complement the detailed dietary questionnaires commonly used in nutrition research, the American Society for Nutrition reports. Previous studies have found that self-rated health is a strong predictor of morbidity and mortality, but there is scant research on whether self-rated diet quality is predictive of the actual quality of one’s diet.

Researchers then evaluated participants’ eating habits and graded them (from A to F) based on the Healthy Eating Index which assigns points for eating fruits, vegetables, whole grains and protein. It also gives points for avoiding processed foods, refined grains and sugar and saturated fat.

Results showed that 85% of participants inaccurately rated their own diet, almost all of them by ranking it as healthier than it really was, the American Society for Nutrition reports.

Read full article here


USDA Reveals Farmers Have Received More Than $4 Billion in ERP Payouts to Date

USDA Secretary Tom Vilsack announced to date, agricultural producers have already received more than $4 billion through the Emergency Relief Program (ERP), representing approximately 67% of the more than $6 billion projected to be paid through Phase 1 of the program.

USDA mailed out pre-filled applications in late May to producers with crop insurance who suffered losses due to natural disasters in 2020 and 2021. Commodity and specialty crop producers have until July 22 to complete applications.

The major development was long-awaited and came during a trip to Iowa this week. Vilsack was in Minburn, Iowa, in a district where Democratic Rep. Cindy Axne could well face a tough campaign.

“We recognize the financial recovery need is great and worked deliberately to create a program delivery process that would ensure quick payments to producers,” Vilsack said. “I am extremely proud to share that the strategically streamlined ERP application and program implementation process have yielded the desired results – reduced burdens on and expedited payments to approximately 120,000 disaster-impacted agricultural producers, to date.”

Read full article here



The information in this newsletter is intended to update our readers of current events.  Any third-party publications are presented for informational purposes only and the views presented in such publications are those of the respective authors.  The views therein are not necessarily representative of Aeros or any other CULTURA company’s views on any particular topic.