March 22 Cattle on Feed + Ag News

United States Cattle on Feed Down 7 Percent
   
Cattle and calves on feed for slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 10.9 million head on March 1, 2013. The inventory was 7 percent below March 1, 2012.

Placements in feedlots during February totaled 1.48 million, 14 percent below 2012. Net placements were 1.42 million head. During February, placements of cattle and calves weighing less than 600 pounds were 355,000, 600-699 pounds were 270,000, 700-799 pounds were 407,000, and 800 pounds and greater were 450,000. Placements are the lowest for February since the series began in 1996.

Marketings of fed cattle during February totaled 1.64 million, 7 percent below 2012.  Other disappearance totaled 60,000 during February, 35 percent below 2012.

State By State Information  (1000 head, % compared to the same month one year ago)
State   -     On Feed     -    Placements    -   Marketings 
NE      -  2,430 (95%)  -    350 (85%)    -   380  (97%) 
IA       -   640  (96%)   -     71  (84%)    -   68  (110%)
KS     -  2,050 (93%)  -     295 (80%)    -   345  (90%)
CO     -  990  (91%)    -    160 (97%)    -   170  (85%)
TX      -  2,550 (90%)  -     340 (89%)    -   395  (95%) 



USDA Cold Storage Highlights

Total red meat supplies in freezers were up 3 percent from both the previous month and last year. Total pounds of beef in freezers were up 1 percent from the previous month and up 4 percent from last year. Frozen pork supplies were up 5 percent from the previous month and up 2 percent from last year. Stocks of pork bellies were up 17 percent from last month but down 31 percent from last year.

Total frozen poultry supplies on February 28, 2013 were up 2 percent from the previous month and up 9 percent from a year ago. Total stocks of chicken were down 3 percent from the previous month but up 6 percent from last year. Total pounds of turkey in freezers were up 11 percent from last month and up 14 percent from February 29, 2012.

Total natural cheese stocks in refrigerated warehouses on February 28, 2013 were up 4 percent from both the previous month and from February 29, 2012.  Butter stocks were up 16 percent from last month and up 17 percent from a year ago.  Total frozen fruit stocks were down 8 percent from last month but up 4 percent from a year ago.  Total frozen vegetable stocks were down 7 percent from last month but up 6 percent from a year ago.



Nebraska Corn Board Presents Awards of Recognition and Achievement

The Nebraska Corn Board presented its annual awards to six Nebraskans during its Cooperator and Awards Dinner in Lincoln recently. 

The agricultural awards pay tribute to outstanding representatives of Nebraska's grain elevator, livestock, and ethanol industries.  Additional recognition goes to a member of the Nebraska media and to recognize overall achievement in agriculture.    

The Ag Achievement Award annually honors those who have supported and expanded Nebraska agriculture over the long term.  This year's award was presented to two recipients: State Senator Tom Carlson of Holdrege and Rick Leonard, research analyst for the Agriculture Committee of the Nebraska Legislature.

Senator Carlson was instrumental in helping pass the legislation that allowed the corn checkoff rate in Nebraska to increase to a level that is better aligned with the current state of the corn industry and with the challenges and opportunities that exist for Nebraska corn farmers.  Carlson has also been a leader in exploring ways to help commodity checkoff programs and other agriculture organizations in the state work more efficiently and cooperatively.

Leonard conducted the critical background work required to introduce legislation in support of the corn checkoff revision.  He was also involved in the interim study that looked at changes in the structure of the Nebraska Corn Board and continues to be engaged in the legislative process in this regard.

The Elevator Industry Appreciation Award was presented to George Hohwieler, CEO of Aurora Cooperative, headquartered in Aurora, Nebraska.  Hohwieler was recognized for his company's commitment to agriculture and to the development of young people in agriculture.  He was also supportive of partnering with Nebraska corn farmers for the Red Cross grain donation program. With this, he supported sending two of his board members with the Corn Board to Japan for relief efforts and a Nebraska corn-fed beef trade mission after the earthquake and tsunami in 2011.

The Livestock Industry Appreciation Award was given to Willow Holoubek, organizational director for the Alliance for the Future of Agriculture in Nebraska (A-FAN).   Holoubek has been a champion for animal agriculture in Nebraska, helping consumers appreciate the value of the livestock industry in the state—and supporting efforts to expand livestock production in Nebraska.

The Ethanol Industry Appreciation Award was presented to Seth Harder, plant manager at Husker Ag, LLC of Plainview, Nebraska.  He was recognized for his leadership in working with retailers to install flex fuel pumps in northeast Nebraska and for his involvement and engagement in ethanol advocacy groups on both a statewide and national basis.

The Media Appreciation Award was presented to Robert Pore of the Grand Island (Neb.) Independent.   Pore was recognized for his commitment and depth of understanding of agriculture and biofuels issues—and his ability to effectively communicate these stories with the general public.



NDA ACCEPTING SPECIALTY CROP GRANT PROPOSALS

The Nebraska Department of Agriculture (NDA) is currently accepting specialty crop grant proposals.  Specialty crops are defined as fruits and vegetables, tree nuts, dried fruits, horticulture, and nursery crops (including floriculture).

“The specialty crop industry in Nebraska continues to grow,” said NDA Director Greg Ibach.  “I encourage individuals involved in this sector to consider submitting a grant proposal this year.”

NDA will utilize funds from the United States Department of Agriculture (USDA) Specialty Crop Block Grant Program to administer the state program, subject to the availability of funds.

A two-phase competitive process will be used to determine eligible grant recipients in Nebraska.  Phase one requires interested organizations and groups of individuals to submit by April 19 a concept proposal explaining the main points of their project idea.  All submitted concept proposals will be competitively ranked and the top proposals will be asked to move on to phase two of the process.  Phase two will involve a more detailed grant proposal to be submitted as part of the state plan to be reviewed by USDA.

According to USDA guidelines, eligible projects must solely enhance the competitiveness of specialty crops, and may focus on: research, education, consumption, trade enhancement, food safety, food security, plant pest and disease control, organic and sustainable production practices, among other opportunities.  Proposals must show how the project will benefit the specialty crop industry or a segment of the industry as a whole; proposals that will profitably benefit one organization or individual will not be accepted.

Grant proposal guidelines and application information are available through NDA by calling (800) 422-6692, or e-mailing casey.foster@nebraska.gov.  More information on the process can also be accessed on the NDA web site at www.nda.nebraska.gov.  Additional information is also available at the USDA web site at http://www.ams.usda.gov/scbgp.



Pork Producers Reaffirm Industry Support for Producer Choice on Sow Housing

At the National Pork Industry Forum last week, pork producers approved a resolution reaffirming the industry's position that producers should be able to select a sow housing system, including gestation stalls or individual maternity pens, which best promotes employee safety and animal care while ensuring a reliable supply of pork for consumers.

"Pork producers, working with veterinarians, understand what it takes to provide the best care and welfare for their animals," said Karen Richter, a farmer from Montgomery, Minn., and National Pork Board vice president.  "The National Pork Board builds its animal and well-being programs on the foundation of what are best for the pig. By adopting this resolution, producers are reaffirming their commitment to choose what type of housing is best for their animals."

The National Pork Board provides educational programs and materials that focus on how producers can best ensure the well-being of their pigs. The programs offer methods that help producers take an objective look at each animal's well-being, independent of the size of farm or the specific type of housing.

A survey conducted in 2012 by University of Missouri Extension economist Ron Plain found that currently 17.3 percent of sows spend a portion of gestation in open pens. Plain surveyed pork farms with 1,000 or more sows and received responses from 70 farms, which combined own about 3.6 million of the nation's 5.7 million sows.

Plain's survey also found that 20.2 percent of sows on operations with 1,000 to 9,999 sows, 18.9 percent on farms with 10,000 to 99,000 sows and 16.4 percent on farms with more than 100,000 sows are in open pens for some portion of gestation.  When asked about plans to put more sows in open pens, the largest farms indicated that 23.8 percent of their sows would be in them in two years; farms with 10,000 to 99,999 sows would have 21.3 percent of their pigs in such pens; and farms with 1,000 to 9,999 sows would have 20.7 percent.  By comparison, a recent National Pork Board producer survey found that farms producing fewer than 5,000 hogs per year (approximately 200 sows or less) were more likely to use some form of open housing.

"Regardless of the system, what really matters is the individual care given to each pig," Richter said.  "And we will continue to rely on science-based standards and our own long history of leadership in animal welfare to ensure that all animals are treated humanely."



National Pork Board Approves $3 Million for Summer Marketing Push

New market challenges and new opportunities inspired the National Pork Board to approve adding $3 million in additional Pork Checkoff funds to bolster the 2013 domestic marketing budget during the crucial summer sales months. The action came at a meeting held in conjunction with last week’s National Pork Industry Forum.

Recent pronouncements from key international trading partners undermining U.S. pork’s international market access threaten to slow pork exports from the record pace set in 2012.  “With farmers still reeling from high feed prices associated with the 2012 drought, we felt it was critically important that we do everything we can to keep pork moving through the marketplace,” said National Pork Board President Conley Nelson, Algona, Iowa. “With 75 percent of our customers living in the United States, we believe there is a great opportunity to increase domestic demand for quality U.S. pork.”

“We already can see some momentum building toward the summer grilling season,” Nelson said. “Pork right now is one of the best values in the meatcase. We also are getting some help from the new, 145-degree cooking temperature approved last year by the U.S. Food Safety and Inspection Service. We’re adding new pork lovers once they discover how good it is when cooked to the right temperature.”

Nelson added, “Finally, we’ve launched a new effort to give consumers new ideas for affordable family meals.  By putting some new labels on familiar pork cuts, we think it will be easier for consumers to take advantage of pork’s great taste and value. Adding $3 million of marketing muscle to our summer sales promotions makes good sense.”

Ceci Snyder, the Checkoff’s vice president of domestic marketing, told board members that the additional funds will make it possible to emphasize the value of pork in the meatcase at a time when many consumers are feeling a financial pinch.

“As we’ve listened to consumers, we know they are seeking affordable and convenient dinner ideas – and pork today offers a great combination of flavor, versatility and value,” said Snyder.  “The other thing we’ve learned from consumers is that people who like meat cooked to a medium temperature may still overcook pork. Our pork lovers have discovered that if you cook your pork like a steak, you end up with a tender and juicy product that offers great taste and flavor.”

Nelson noted that the board took similar action in 2011 to grow demand at a critical juncture.  “As pork producers, we know firsthand how high feed prices are leading to losses throughout our industry. We are excited about the opportunity to invest Checkoff dollars in a Summer campaign that we believe can grow consumer demand and create a return on investment for our producers.”

The budget addition must be approved by the U.S. Department of Agriculture, which oversees the National Pork Board budget.



Informa Trims Corn Estimate, Ups Soybean Acreage

Private analytical firm Informa Economics revised its forecast for corn acreage to 97.75 million acres, a 1.6 million acre drop from its January estimate but a nearly 600,000-acre increase from last year.  Informa's latest report predicts farmers will plant fewer total crop acres than implied by previous analyses, largely in the form of fewer corn acres.  The report says this is consistent with what economic returns would suggest as corn's net revenue premium over soybeans (and other major row crops) has declined since their mid-January acreage survey.

The soybean acreage estimate increased to 78.5 million acres, a 320,000-acre jump from January. That's 1.3 million acres higher than last year's planting. Informa shifted some production from the Western Corn Belt to the east and trimmed acres from the mid-South.

All-wheat planted acres are estimated at 56.1 million. Informa estimates 12.4 million acres will be planted to spring wheat.  Informa projects a winter wheat crop of 1.61 billion bushel crop, down 38 million bushels from last year, on a slightly lower-than-trend yield and a 470,000-acre increase in abandoned acres. Hard red winter wheat production is projected at 901 million bushels, down 103 million bushels from last year.

USDA will release its Prospective Plantings report on Thursday, March 28, at 11 a.m. CDT.



US-EU FTA Provides Pathway to Address Ongoing Biotech Concerns
Floyd Gaibler, U.S. Grains Council Director of Trade Policy and Biotechnology

The office of the U.S. Trade Representative (USTR) has officially notified Congress of its intent to enter into negotiations with the European Union (EU) on the Transatlantic Trade and Investment Partnership. This is an opportunity to elevate ongoing discussions on a number of significant longstanding issues, among the most important of which is timely approval of genetically modified (GM) events in crops destined for export.

In its letter to Congress, USTR indicated that its objectives include elimination or reduction of non-tariff barriers that decrease market opportunities for U.S. exports, provide a competitive advantage to products of the EU, or otherwise distort trade, such as sanitary and phytosanitary (SPS) restrictions that are not based on science. The U.S. Grains Council will take an active role in working with both governments and our customers to seek a systematic approach to resolving these challenges.

The USTR's goals also include building on key principles and disciplines of the World Trade Organization Agreement on the application of SPS measures. This includes the commitment to base SPS measures on science and international standards or scientific risk assessments; to apply them only to extent necessary to protect human, animal, or plant life or health; to develop such measures in a transparent manner, without undue delay; and to establish an on-going mechanism for improved dialogue and cooperation addressing bilateral SPS issues.

These are top priorities for the Council and the U.S. feed grain sector in addressing ongoing concerns with loss of market share in key EU country markets. Traditionally, until 1997/98, U.S. exports represented the lion's share of EU imports of corn and corn co-products. Since then, U.S. corn exports have fallen dramatically to historically low levels and have varied widely year to year. The decline coincided with the introduction of genetically modified organisms in the U.S. market, and the variability in exports can be tied to the timing of EU approvals of GM corn traits.

The EU's authorization system on GM product approval requests routinely fails to meet its own prescribed timelines. This creates a backlog and a growing gap between approval timelines of the U.S. and the EU. With a steady stream of new, mostly stacked events being submitted for approval, the backlog is likely to increase and create likelihood of not yet EU-authorized GMs in imports. Thus, the ability to respond to market conditions and opportunities to export U.S. feed grains to the EU is severely constrained and unpredictable. Increased trade disruptions will limit markets for U.S. feed grain exports, and ultimately they will result in increased costs for our customers.



Port Congestion Delays China Soy Import

China's April soybean imports will likely be less than 4.5 million metric tons, lower than market expectations of about 5 million tons, due to severe port congestion in Brazil that has delayed shipments, an executive said Friday.

Guo Feng, vice general manager of the trading unit of Chinatex Grain & Oils Co., told an industry conference that the delays may prompt some importers to seek old-crop U.S. soybeans to meet crushing demand, despite higher prices.

Portside inventories will continue to decline, supporting cash prices, Guo said, as China needs about 4.8 million tons for crushing each month.

March imports are expected to be less than 4 million tons, he said.

The state-backed China National Grain & Oils Information Center estimated March soybean imports at 3.77 million tons.



Congress Approves Funds For Meat Inspectors
Furloughs Of FSIS Personnel Prevented; Disruptions At Packing Plants Avoided

The National Pork Producers Council today expressed strong support – and relief – for funding approved by Congress to prevent furloughs of federal meat inspectors, a move that would have had negative effects on pork producers, meat packers and consumers.

The House of Representatives today passed a continuing resolution, which funds all federal programs through Sept. 30, that includes $55 million for the U.S. Department of Agriculture’s Food Safety Inspection Service (FSIS). The Senate approved the funding bill yesterday, with an amendment sponsored by Sens. Roy Blunt, R-Mo., and Mark Pryor, D-Ark., that added the money for FSIS inspectors, who are required in packing plants that process meat, poultry and eggs.

 “This is very good news for pork producers and other livestock and poultry producers,” said NPPC President Randy Spronk, a hog farmer from Edgerton, Minn. “Federal meat inspection is a function that should be maintained to protect the public health by ensuring the safety of the U.S. meat supply. We’re pleased meat inspections will continue, and we are very grateful to Sens. Blunt and Pryor for their efforts to protect food-animal producers and meat packers from costly losses and consumers from higher prices.”

Agriculture Secretary Tom Vilsack last month said federal budget sequestration – automatic across-the-board cuts – could force furloughs of up to 15 days for FSIS inspectors. More recently, USDA was considering furloughs of one day a week for 11 weeks between July and Sept. 30 – the end of the 2013 fiscal year.

Without inspectors, packing plants cannot process meat. USDA estimated the furloughs would have resulted in lost production of more than 2 billion pounds of meat, 2.8 billion to 3.3 billion pounds of poultry and more than 200 million pounds of egg products at a cost of as much as $11 billion.

NPPC had asked the secretary to recognize meat inspectors as “essential” workers – as they had been in similar situations, such as a government shutdown – and forego furloughing them.

The money for FSIS is offset by not increasing funds for USDA’s building and facilities account and its School Breakfast Grant Program as much as was requested in the original continuing resolution. (Both, however, receive more funding in fiscal 2013 than they did in fiscal 2012.)



Record Year for Meat and Poultry Exports Bolsters Demand for U.S. Soy

These little piggies went to market – international markets, that is, and in record numbers. Despite challenging issues, such as the struggling global economy and trade barriers, U.S. poultry and livestock farmers enjoyed a record year for meat exports, which helps keep domestic demand for U.S. soy strong.

U.S. poultry, egg and pork shipments exceeded previous highs for value and volume set in 2011. International beef sales dipped slightly in volume but broke the previous value record.

Growing U.S. meat and poultry exports reinforce demand for U.S. soy since soy meal constitutes a significant portion of animal feeds. Domestic animal agriculture uses about 98 percent of the domestic supply of U.S. soy meal, making it the U.S. soy industry’s No. 1 customer.

“Exporting meat and poultry is a big issue for U.S. soybean farmers,” says John Butler, a farmer-leader from Dyersburg, Tenn. “If we can feed animals soybeans here and sell them abroad, we’re creating a value-added product. Adding that value here has a tremendous positive impact on not only the U.S. soy industry but the national economy as well.”

Poultry and hogs remain the biggest users of U.S. soy meal. According to the most recent statistics, poultry consume roughly 12.9 million metric tons annually. That’s the meal from 601 million bushels of soybeans. And hogs account for 6.8 million metric tons of U.S. soy meal, or the meal from 318 million bushels of soybeans.

To support U.S. soy meal’s largest customer, the soy checkoff partners with organizations like the U.S. Meat Export Federation (USMEF) and USA Poultry and Egg Export Council to market U.S. meat and poultry abroad. A recent checkoff and USMEF effort helped increase consumption of pork back ribs in Japan from zero to 4.5 million pounds over the last three years.

The U.S. meat and poultry export figures for 2012 include:
-    Pork exports nearly reached 2.3 million metric tons, valued at over $6.3 billion.
-    Broiler meat exports, excluding chicken paws, reached 3.3 million metric tons, valued at nearly $4.2 billion.
-    Beef exports reached 1.1 million metric tons, valued at $5.5 billion.
-    Turkey exports reached 361,597 metric tons, valued at $678 million.
-    Chicken paw exports reached 363,974 metric tons, valued at $450.1 million.
-    Egg exports, table eggs and processed egg products in shell equivalents reached 274.1 million dozen, valued at $263.7 million.



Dairy Situation and Outlook
Bob Cropp, Professor Emeritus, University of Wisconsin Cooperative Extension

Despite widespread drought last year and high feed prices milk production continues to run above year ago levels, but up just slightly. USDA’s release of February’s milk production when adjusted for leap year showed production compared to a year earlier up just 0.1% for the 23 reporting states and estimated to be even for the U.S. This is down from increases in January of 0.5% for the 23 states and 0.6% for the U.S.

Milk per cow fell below year ago levels for two months last year, August and September and has been above year ago levels ever since. February milk per cow was up just slightly for both the 23 states (0.2%) and the U.S. (0.3%). Milk cow numbers peaked in April last year and then declined May through October. Since then milk cow numbers have been increasing despite heavier cow slaughter. February cow numbers were 2,000 head higher than January for both the 23 states and the U.S. The net result was milk production below a year ago during August through October of last year and above year ago since then.

Adjusted for leap year February milk production was below a year ago for Western states. February milk production was below a year ago by 3.5% for Arizona, 4.7% for California, 0.8% for Idaho, 0.5% for New Mexico, and 2.0% for Texas. Each of these states had fewer milk cows than a year ago. In the Northeast February milk production was above a year ago by 1.5% for New York, 1.6% for Pennsylvania, 2.6% for Ohio and 4.2% for Michigan. And for the Midwest production was above a year ago by 1.3% for Iowa, 2.6% for Minnesota and 3.9% for Wisconsin.

With milk production running above a year ago dairy product production is also higher. January production compared to a year ago shows butter up 2.6%, cheddar cheese up 2.9% and total cheese up 2.4%. Exports have been lighter and domestic buyers have not been aggressive resulting in increased stocks. January 31st stocks compared to a year ago shows butter up 21.3% (increased 35% since the end of December), American cheese up just 0.2% and total cheese up 1.2%. Stocks of nonfat dry milk were up 57.2% and dry whey stocks up 17.5%.

Dairy exports were a record in 2012 accounting for 13.2% of U.S. total milk solids. But, exports trended lower the last quarter with December exports the lowest in two years. December exports were equivalent to just 11.6% of total milk solids. Exports suffered due to increased milk production in New Zealand which allowed for greater exports and at prices lower than U.S. prices. But, weather has turned unfavorable in New Zealand with dry weather causing deteriorating pastures lowering milk production and bringing their seasonal production to a quicker end. Dry weather in parts of Australia and wet in other parts has reduced Australia’s milk production as well. Argentina’s milk production is now running below a year ago and production is flat in the EU. The result has been increase prices on the Global Dairy Trade for the past seven trading sessions bringing prices closer to U.S. prices. So once international buyers work off inventories U.S. dairy exports ought to increase giving strength to milk prices. In fact exports already started to improve in January. Compared to a year ago exports were up 13% for cheese, 54% for whey protein concentrate, 11% for lactose and 40% for butter. Exports of nonfat dry milk were down 18% and dry whey exports down 14%. Yet exports as a percentage of total milk solids improved to 12.3%.

Dairy product prices weakened early March from where they were the end of February. Butter was an exception with the end of February at $1.55 per pound and increasing to $1.70 by March 19th. Cheddar blocks were $1.595 per pound the end of February, fell to $1.55 on March 4th, but started to increase on March 7th and are now $1.62. Cheddar barrels were $1.57 per pound the end of February, fell to $1.535 on March 4th, but started to increase on March 5th and are now $1.60. Both nonfat dry milk and dry whey prices have softened since February.

Early forecasts were for milk prices to start to increase in March. But, as noted above cheese prices surprisingly weakened from what was expected with rather tight stocks. However, cheese production and stocks were building. The Class III price was $17.25 for February and will be about $16.95 for March. Class IV was $17.75 in February and will be about $17.80 in March. With cheese prices strengthening Class III futures have strengthened with April at $17.53, reaching $18.13 in May and $19 or higher from July through October and ending in December at $18.20. With lower milk production in New Zealand opening up possible export opportunities for the U.S. Class IV futures have also strengthened. March Class IV futures are $17.80 with April at $18.15, hitting $19 in June and staying in the high $18s the remainder of the year. Earlier forecasts had no or little increase in 2013 milk production. USDA and others have revised the forecast for increases in 2013 milk production of between 1% and 1.8%. As a result forecast for average milk prices for the year were lowered. But, the range in forecasts is rather wide with Class III price reaching $20 by September and October to those who still have prices below $18.00. I still feel the probability of Class III reaching and holding at $19 plus by summer and fall as current futures show is quite high. But, as mentioned before the crop conditions and resulting feed prices this summer and fall will be critical to milk production and final milk prices the last half of the year.



DFA Reaches Settlement in Cheese Class Action Lawsuit

“Dairy Farmers of America has reached a settlement agreement in a portion of the class action lawsuit regarding DFA’s trading activity on the Chicago Mercantile Exchange in 2004.

“Under the terms of the settlement with the class of direct purchasers of dairy products, filed this week, DFA makes no admission of wrongdoing and will pay $46 million to the plaintiff class.

“Our farmer leadership and management team have worked diligently to put certain old issues behind us and resolve pending litigation. Recently we were able to settle a class action lawsuit in the Southeast United States. Resolution of both of these lawsuits allows us to remove a source of distraction for our leadership and to avoid additional legal fees.

“The payment of the settlement will not affect the Cooperative’s day-to-day operations or its ability to market members’ milk and pay them a competitive price for that milk. Member milk checks and the member equity program will not be impacted.”



Papa John’s Raises the Bar with Premium Pork Toppings

Any way you slice it, pork is proving that Better ingredients. "Better pizza" is more than a slogan at Papa John’s restaurants.

“Papa John’s is a trend setter in the highly competitive pizza arena,” said David Bottagaro, national foodservice marketing manager for the Pork Checkoff. “The chain is raising the bar by offering new innovative premium pork toppings on its menu.”

The Checkoff teamed with Papa John’s on two signature pizza promotions that ran back to back in 2012. The Five Sausage Pizza featured chorizo, pork sausage crumbles, spicy and mild Italian sausage and smoked sausage.

Papa John’s also debuted its Double Bacon Six Cheese Pizza, featuring Canadian bacon, hickory-smoked bacon and a six-cheese blend of mozzarella, Parmesan, Romano, Asiago, provolone and fontina. It was so popular that it is now a full-time, core menu offering at the chain’s 3,500 restaurants in all 50 states.

“When a major operator like Papa John’s introduces a new pork topping option, such as chorizo, or offers pork on two new signature pizzas, this enhances pork demand,” Bottagaro said. “Papa John’s also has the ability to shift the dynamics in the whole pizza category by prompting other brands to re-evaluate their menu and provide additional pork topping items.”

Canadian Bacon Featured
Of America’s top-five pizza companies, Papa John’s is the only brand to offer Canadian bacon as a topping choice on its permanent menu. Three of Papa John’s specialty signature pizzas also showcase Canadian bacon.

“In the beginning of 2012, Papa John’s exchanged all of ham toppings in its North America stores with Canadian bacon prepared from domestic, loin meat as raw material,” said Bottagaro, noting that the Checkoff has been working with Papa John’s for two years.

To spread the word about the premium pork toppings on its Five Sausage Pizza and Double Bacon Six Cheese Pizza, Papa John’s launched a nationwide, integrated marketing campaign supported by Pork® Be inspired® and El Sabor De Mil PlatillosSM. The promotions targeted general consumers, as well as Hispanic consumers with national TV and print ads, social media and other tools.

“Working with a leading company such as Papa John’s offers unique opportunities to amplify pork’s message and build momentum for future promotions,” Bottagaro said. “Capitalizing on Papa John’s media buying power and impressive customer loyalty helps the Checkoff strengthen pork’s brand position as a premium protein and help drive demand for pork.”