Strength in the nearby futures contracts are the main reason for the negative basis levels that are expected to continue through out December. Quebec's hog sales increased 12,000 to 145,974 last week. Ontario Pork has recently announced the new Quality Platinum contract. The contract is for 2,500 hogs per week and is open to all producers in Ontario. Unlike previous platinum contracts, this is not a fixed price contract.
Producers are able to sign up on the contract on a first come, first serve basis.
Producers are also reminded that as the Christmas and New Year's holidays approach, slaughter capacity will be drastically reduced.