There was good number of the world’s raw and wet blue hide suppliers calling on their tanner customer in Asia last week. One would expect that a fair amount of trading took place during those visits. And, in fact we did hear that some business was put together, but it is difficult to predict just how much product changed hands. There were reports from a number of those travels that their tanner customers told them they were going to hold of on buying any raw material until or after this week’s Asian Pacific Leather Fair. There were reports that we got from some of those travels saying that they found good buyer interest for certain selections such as Holstein Steer and Cow hides. Those sellers indicated that they were able to obtain steady to even slightly higher prices for some selections from desirable productions. That interest appeared to have come from furniture upholstery tanners. Interest from U.S. Branded Steer hide buyers in Asia seemed on the other hand to be lacking. This we are told is the result of the continued shortage of demand for finished leather from the footwear sector. Here in the U.S. packers had no trouble moving any Heavy Native Steer hides they were producing. The auto upholstery guys here in the states bought up what was available at what we would call steady money. Other than some reports of higher prices being obtained for some heavy average weight Native and Branded Plump Cow hides there seemed to be very few inquiries for seasonal average Plump/Beef Type Cow hides.
The export sales number for raw and wet blue U.S. hides reported by the USDA last Thursday for the week ending Thursday, February 21st was not a big number. But the total pieces exported number was a good one from a supplier’s point of view.The U.S. cattle slaughter number move a little higher last week to just over the 600,000 head still a little low, which is reflective of the current demand for beef. Historically, February and March have are poor months for beef sales and beef is currently fighting for consumer protein dollars against much cheaper pork.
Sales activity last week resulted in our moving our FOB plant prices for the seasonal avserage weight Big Packer Steer hide selections up from the prior week:
- Heavy Native Steer hides at between $43.00 to $45.00 per piece, up $1.00 for the week.
- Butt Branded Steer hides at $41.00 per piece, up $1.00 for the week.
- Heavy Texas Steer hides at between $30.00 and $31.00 per piece, up $.50 for the week.
The Export Sales Report released by the USDA on Thursday, February 28th for the week ending Thursday, February 21st. showed that 476,500 pieces of raw and wet blue hides were sold for export during that 7-day period. The same report reported stated that 663,900 prices were shipped/export during that week.
The USDA estimated the U.S. Federally Inspected Slaughter, (FIS) for the week ending Saturday, March 2, 2019, was estimated to be 603,000 cattle. Up from the 577,000 head harvested the prior week and down from the 610,740 head processed last year week of date.
Many in the hide trade either left over the weekend or will leave this week for Asia. They will be on their annual trek to call on their tanner customers prior to, at or shortly after the Asia Pacific Leather Fair. The fair will be held next week on Wednesday, Thursday and Friday in Hong Kong. Many believe that a good number of Asia tanners await those supplier visits and have held off buying any raw material until they meet suppliers face to face. Those meetings should allow both hide suppliers and tanners to better understand the others position.
CREATIVE PUNS FOR THE EDUCATED MIND
Atheism is a non-prophet organization.
When cannibals ate a missionary, they got a taste of religion.