U.S. animal slaughtering and processing production is rising. Average production during the 12 months through September was up 4.2 percent compared with the year-ago level. This is well above the five-year average growth rate of 0.7 percent.

The U.S. poultry production and U.S. pork production components of U.S. animal slaughtering and processing production are accelerating, up 2.4 percent and 3.3 percent year over year, respectively. This will contribute to U.S. animal slaughtering and processing production growth during at least the near term. The U.S. beef production component transitioned to a slowing growth trend, but the annual growth rate of 6.1 percent is also well above the five-year average of minus-0.8 percent.

Rising expectations of U.S. food production through at least 2018 bodes well for U.S. animal slaughtering and processing production growth during the same time period. U.S. food production will transition to a slowing growth trend in early 2018, further suggesting that U.S. animal slaughtering and processing production could begin to decelerate in 2018. NP