GLOBAL COMPETITIVENESS OF THE U.S. PORK SECTOR

What countries will have a competitive advantage in producing pork for international customers in the next decades? We briefly examine the changing competitive structure, emphasizing costs of production and processing, for four major pork exporting countries - the United States, Denmark, The Netherlands, and Canada. Several productivity and cost differences, and their causes are profiled for pork producers and processors in each country. Changing environmental constraints and differences likely to play an important role in affecting exports from each country are summarized. After considering each of the changes occurring and the relative costs in each country's pork sector individually, we conclude that western Canada could develop a competitive advantage if it develops a more competitive processing industry, that the United States' very efficient processing industry and the lower cost hog production should help expand its market share, but Denmark is likely to remain the leading exporter despite their higher cost system.