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Mustang Sally Farm

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Re: World Hog news:
« Reply #675 on: September 07, 2013, 10:23:32 PM »

Viet Nam: Hog Markets
06 September 2013
Genesus - The first power in genetics

VIET NAM - The first six months of 2013 has been very difficult for swine producers. The rise in fuel costs, disease challenges and production costs - mainly due to increased feed ingredients costs, coupled with low market pig prices - have seen most farmers show losses during this time period, writes Fernando Ortiz.

Farmers are seeing financial stress and have little incentive to invest in their farms (several farms are closing down or reducing their sow herd). Also the blue ear disease (PRRS) has occurred in many provinces. Currently, an outbreak of PRRS in Dak Lak province is noted.

The estimated total number of pigs in the Country on June 15/2013 was 26.5 million- a drop of 0.52 per cent compared to the same period in 2012. July saw a further drop in the total number of pigs in the Country.

July 2013 total number of pigs is down 1.5 per cent from July 2012. A recent survey done by the General Statistics Office at the beginning of April, showed the estimated total number of pigs to be 26.98 million, an increase of 1.08 per cent compared to April, 2012. The total number of sows was 15.43 per cent of the 26.98 million total pigs or 4.16 million sows. Sow numbers for July are flat similar to last month.

Recently, the market price has been rising to return to a profitable level for farmers. In the first 6 months of 2013, the market price has been many times below the production costs and thus farms have showed unprofitable or less profitable cash flows. Market pig prices were: January, 48,000 VND/kg ($2.26US/kg-$1.03US/lb.)(north region) and 44,500 VND/kg ($2.10 US/kg-$0.95US/lb.) (south region); in March, 43,000 VND/kg ($2.03US/kg-$0.92/lb.)(north region) and 38,000 VND/kg ($1.79US/kg-$0.81US/lb.)(south region); and in May, 41,000 VND/kg ($1.93US/kg-$0.88US/lb.)(north region) and 37,500 to 39,000 VND/kg-$1.77US to $1.84US/kg-$0.80US to $0.83/lb.) (south region). Currently, the south region has market prices of 40,000 to 41,000 VND/kg ($1.89US/kg-$0.86US/lb. to $1.94US/kg-$0.88US/lb.).

General Statistics Office has released the consumer price index (CPI) for July and it increased by 0.27 per cent from the previous month. July CPI has increased by 6.81 per cent (year on year as compared to July 2012) and increased by 2.68 per cent since December 31st, 2012. For June, the CPI increased by 0.05 per cent from May. June CPI has increased by 6.69 per cent (year on year as compared to June 2012) and increased 2.4 per cent since December 31st, 2012.

The most notable change in the prices for July was the food items. After 4 months of continuous decline since the Lunar New Year, the food price index rose 0.18 per cent from the previous month (food will be the index that the Government will show the most interest in for price movements in the remaining months of this year).

The increase of 0.18 per cent for food price index also factors into the 1.82 per cent increase for the first seven months of 2013.Compared to the price index of manufacturing products such as agriculture, forestry and fisheries, the price of livestock products such as pork, cattle and aquaculture products are below or increased less than the increase in the general CPI index. Livestock products such as pork, beef, and chicken are still down nearly 10 per cent over the previous year. This huge gap reinforces the argument that farmers are suffering losses with the current market price situation.

For the first seven months of 2013, Viet Nam ’s imports for feed ingredients (mainly corn, wheat and soybeans) plus prepared animal feeds jumped 37.6 per cent year on year to a value of $1.77 billion USD.

Nearly 1.12 million tonnes of corn (an increase of 12.9 per cent and with an estimated value of $366.52 million USD) was imported during the first seven months of 2013. In addition, 861,920 tonnes of soybeans, with a value of $524.04 million USD (an increase of 2.6 per cent in volumne-year on year) were brought into the country. A comment was made that because of the strong dependence on imported animal feeds and ingredients, the price of animal feeds in Viet Nam is 20 to 30 per cent higher than surrounding countries that rely less on imports.

Recent information for August shows that for the first eight months, Viet Nam spent $2.09 billion USD on imports for feed and feed ingredients (importing 1.08 million tonnes of wheat; 1.34 million tonnes of corn and 897,000 tonnes of soybeans).

Nguyen Tri Cong, Chairman of Dong Nai's Livestock Association (with about 1,600 members) reported that exports to China from his province has boosted local market pig prices around Ho Chi Minh City. Currently, market pigs are sold from 42,670 to 43,670 VND/kg ($2.02US to 2.07US/kg-$0.92US to $0.94US/lb.). This is an increase from last month (July2013) of $0.09US to $0.14US/kg-$0.04US to $0.06US/lb.).

Mr Au Thanh Long, Chairman of Duy Cuong Breeding Company (Dong Nai province) stated that due to the economic downturn, there has been a surplus of livestock by more than 20 per cent - 30 per cent . Supply exceeds demand and product prices are lower than production costs. Therefore, the current resolution of the total output of livestock inventory cannot be solved by the domestic consumption only, but needs an expanding export business. The value for export by Viet Nam is at a standstill due to the diseases found throughout the region. Right now, Viet Nam can rely only on the market sale quota via China. According to the farmers, pork exports into China do not need good quality.

In contrast, traders are choosing to buy pork, with high pork fat percentage. (In Viet Nam , there are plenty of farms with these types of market pigs). Mr Phuc, a restaurant owner from Mong Cai (found in QuangNinh province and near the Chinese border) has three trucks with three decks and they are collecting market pigs in the Dong Nai area. The market price for the pig or the difference in price in China versus the local farms is 10,000 VND/kg-$0.47US/kg-$0.21/lb.

This level, after deducting the costs: trucking costs, fuel costs, quarantine fees and road fees, shippers like Mr Phuc can earn 2,000 VND to 5,000 VND/kg ($0.09US to $0.24US/kg-$0.04 to$0.11/lb.). Local farmers like the current upward trend in market price, but they fear that the China border may close or the Chinese will find supply from within their own country or from other Country’s sources.

Information from Viet Nam Animal Feed Association and the Ministry of Agriculture and Rural Development, project that the cost per tonne of imported soybeans is declining. For August, the price was about $ 610US/tonne; for September it is estimated to be about $563US/tonne and for October the estimate is lowered to $516US/tonne.




Mustang Sally Farm

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Re: World Hog news:
« Reply #676 on: October 02, 2013, 02:20:59 AM »

Russian Pork Market Still Wobbly a Year after WTO Admission
30 September 2013

RUSSIA - It has taken a year for Russia's pork prices to climb back after the last plunge, which was triggered by the admission of Russia to World Trade Organisation (WTO). This rise would not have been possible without a host of events beyond purely market supply and demand interaction, writes meat market analyst, Andrey Dalnov.

Earlier this year, Rosselkhoznadzor, the Russian agency responsible for food security, began to shun key foreign meat suppliers due to their use of the growth promoter ractopamine.

US and Canadian producers fell victims to their habit to beef up their production through using the growth promoter. Of course, one can say that they had used it with impunity for some 15 years, but it is never too late for Rosselkhoznadzor when food security is concerned. As a result, the US was crossed off the list of meat suppliers in February, closely followed by Canada, which lost access to Russian market in April.

As a side effect, this motion provoked a fierce discussion on food forums of the flaws in the US domestic meat production system.

Brazilian pork producers have managed to escape the fate of its northern counterparts. Brazilians may be the heaviest users of ractopamine after China but it has firmly promised to provide only “clean” meat to the Russian market.

In April, the Russian government discontinued trade preferences for developing countries, which Brazil enjoined according to WTO rules, but it did not affect the volume of Brazilian pork exports to Russia. The preferences allowed eligible producers to pay 25 per cent less custom tariff on pork out of quota. Russian annual pork tariff quota is 430,000 tons. But, preferences or not, Brazilian export is well below potential and cannot be squeezed further without a country wide ban.

European pork producers do not mess with ractopamine. In fact the EU itself has long used this drug as a pretext to hinder pork imports from USA, Canada and Brazil. Although things have improved a lot since Upton Sinclair wrote his revelatory novel “The Jungle”, there is still no perfectly clean meat plant.

So, after an inspection carried out by Rosselkhoznadzor in April, virtually all Spanish pork facilities were canceled from exporters’ list as they failed to live up to Russian sanitary standards. Sixteen German facilities were “shut down” in late June on similar grounds. Germany and Spain are the key exporters of European pork to Russia.

Rosselkhoznadzor inspectors’ actions have prompted OECD agricultural policy analysts to question Russia's adherence to the WTO's Sanitary and phyto-sanitary (SPS) agreement. However, Russia does not have to fear any WTO sanctioned retaliation in the foreseeable future.

After so many leading pork exporters had been cut out from the Russian meat market, imports fell 14 per cent below last year's volume. Domestic price of carcasses soared in late June and by mid-September reached 140 RUR - slightly higher than it was in the same period last year.

Russia's leading business newspaper Vedomosti claimed that “African swine fever (ASF) helped pork producers” to raise prices but there is no evidence that this summer’s ASF outbreaks disrupted logistics for a long time. Besides, no widening price gap between regions has been reported. And it is usually the case when production is locked in main producing areas.

So why does the Russian pork market appear not to be ruled by market forces at all? The answer is simple - Russian commitments under WTO accession protocol are not compatible with food self-sufficiency policies which had been promoted for more than a decade by various Russian governments.

The obligations which Russia promised to fulfill in order to become a part of WTO – an international body established to promote free and fair international trade – were coined during the most undemocratic process in shabby bureaucratic lobbies by few functionaries. Neither industry unions nor (allegedly) high rank Agricultural Ministry officials were aware of particularities by the time the Protocol was published.

Tariff barriers were dismantled. A striking example is the eight-fold decrease of tariff on imports of live pigs from 40 per cent to five per cent. In 2009, the Russian market was flooded by live pigs from Europe and only rise of tariffs helped to stem the imports.

Interestingly, in 2009, another country faced the same problem. Canada was steadily raising its export of live pigs to USA. The US answered with Mandatory country of origin labeling (MCOOL) of meat, which derailed business of Canadian and Mexican livestock exporters. This rule has been disputed by Canada and Mexico in WTO ever since.

Currently, there is no export of pigs to Russia as it had been banned by Rosselkhoznadzor even before the Protocol of accession came into force on 23 August 2012.

After signing the Protocol of admission to WTO, Russian officials must have found themselves in an awkward position. There is no possibility to protect domestic pork producers as they pledged to do without contradicting the spirit, if not the letter, of the document. It is sad, but there are no winners. So far WTO has failed to make the Russian pork market more predictable. Moreover, events in the Russian pork market indicate that Russia and WTO are going to be an unhappy "couple" and that their "marriage" was premature.


Mustang Sally Farm

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Re: World Hog news:
« Reply #677 on: October 05, 2013, 11:52:29 PM »
News


Brazil to Become World's Largest Pork Producer, Says Ag Minister
04 October 2013

BRAZIL - According to Minister of Agriculture, Livestock and Supply Antonio Andrade, current Brazilian harvest should exceed 200 million tons and soon, Brazil will become the world's largest producer of pig meat.

Mr Andrade underlined the importance of the increase in domestic consumption of pork. He also noted that the sector has again risen, following the fall in cost of production in 2012 and earlier this year.

Currently, pig meat comprises the largest export sector in Brazilian agribusiness. In August of this year, pork revenues stood at US$132 million, exporting 52,000 tons.

National Pork Week, which took place on 2 October, was created to promote pork consumption and bring sustainability to the sector, which directly employs over 700,000 people.

Brazilian pork consumption is 15.6 kg per capita, while the average consumption in the US and in European countries is more than 30 kg. Therefore, the Brazilian Association of Swine Breeders (ABCS) wants to increase the consumption of pork at 18 kg per capita by 2015.

Mustang Sally Farm

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Re: World Hog news:
« Reply #678 on: October 16, 2013, 09:04:59 AM »

Pork Commentary: Global Pork Supply
08 October 2013

Jim Long is President &
CEO of Genesus Genetics.


GLOBAL - The US markets this past week had to deal with the US Federal Government shut down, writes Jim Long.

Due to the shutdown there was no USDA reporting of prices and hog marketing numbers. How will prices be determined on contracts? Hog prices? Stay tuned… If the shutdown continues for a long duration, it will get very complicated for price discovery.

Global Pork Production



The chart above indicates where Global Pork Production has developed over the last five years. Global Production is up 7 per cent, and China is up 10 per cent or about 4 billion pounds – in context China’s production increase is about equal to all of Canada’s and Russia total combined production! It’s obvious China likes pork. They produce half of the world’s production and its production appears to be still growing significantly. To put it another way, if the production of all Smithfield’s one million sows and was sent to China it is equal to about 2.5 – 3 per cent of China’s total production. Is it any wonder they purchased Smithfield? The logistics to get one million sows into production and the packing plants is daunting. With the obvious pork demand in China, coupling the supply with demand and market access it’s an almost no brainer for the Chinese to buy Smithfield.

The 7 per cent increase of Global Pork Production is truly a sign of demand for our product. The 7 per cent increase is equal to about 70 million more hogs per year. The 7 per cent increase in five years of 7 billion metric tons is equivalent to the total production in Russia, Canada, Japan, and Mexico combined.

Global Meat Production



Global Meat Production of not only pork but all meats are increasing. Beef is somewhat flat lining but pork, chicken, and turkey are growing at a rapid rate. Increased population and buying power globally is leading to greater meat protein consumption. People get money – they eat meat. The efforts of the vegetarian lobby such as HSUS (Humane Society of United States) are fighting a losing battle. The collaboration like Feedstuff Magazine and their really lame justification for advertising for HSUS should take note: Note to Feedstuff – ‘Don’t bite the hand that feeds you.’ Global Meat Production is growing. Consumers are voting with their money, eating more meat despite significantly higher prices over the last five years.

Percentage of Global Meat Production 2013



In 2013 it is estimated that 42 per cent of all the meat consumed globally is pork. We are the dominant meat – 23 billion tonnes more than the next largest -chicken. When you consider the price of pork compared to chicken, pork has double the dollar sales globally. We believe consumers vote with their money. Pork is the global winner in meat protein by far and is growing. As an industry to keep our dominant position it is our opinion we must continue to develop new pork products, enhance food safety, but most importantly continue genetic and feeding programs that produce tender, tasty pork that consumers want to eat. That is what will drive enhanced consumption and demand; both factors that will increase hog prices.

This Week

This week we will be in Ixtapa, Mexico at Mexico’s National Pork Congress. Genesus has and exhibit and we will be a speaker at the meeting. Next week we will report our observations.


Author: Jim Long, President & CEO, Genesus Genetics

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Re: World Hog news:
« Reply #679 on: October 22, 2013, 04:01:30 AM »
 
Russia: Hog Markets
17 October 2013
Genesus - The first power in genetics

RUSSIA - Harvest in Southern Russia is in the final weeks before winter sets in. The main crops here are: barley, wheat, corn, sunflower soybean and sugar beet. While corn and sugar beet are still coming out of the field, reports are back on the other commodities, writes Susan Wulf, Managing Director of Genesus Life Science.

Barley was up this year to 14.5 million tonnes, from 13.7 tonnes last year. Sunflower is down to 2.0 million tonnes from last year’s harvest of 2.7, as well as soybeans down to 411.9 million tonnes this year compared to last year’s 431.8 million tonnes.



The exceptional harvest last year, and the good weather in 2013 is reflected in the feed prices. Wheat is down to 5701 rubles (about $184 USD) per tonne from 8035 ($259 USD) rubles last year. Barley 5753 rubles ($185.50 USD) down from 7338 ($238 USD), corn 7551 rubles ($243.50 USD) from 8110 rubles ($262 USD). Sunflower moved from 14000 rubles ($452 USD) to 11000 ($355 USD), while soybeans stayed close, down to 18000 ($580 USD) rubles a tonne from 18500 ($597 USD).

How does that impact hogs? More profit with lower feed prices, of course. nd, to help things further, the highest quality meat (as what is being sold from our nucleus farm in the region) is getting 92 rubles per kilo, or about $1.35 USD per pound, $135 USD CWT.

Modern swine production, as we know it in North America, is very new to Russia – approximately 5 years old. Because of this, and the cost of building modern facilities, the Russian economists estimate that for every kilogram of pork that goes to market from these sites, about 10 rubles pays the loan on the site. That’s about $35 USD. Labor is inexpensive, as well as other inputs (heating fuel, electricity) but feed is the most expensive component here as it is everywhere else. There may be thousands of hectares of arable land, but as of today, the infrastructure is not sufficient to support it. Russia is working on this issue, though, and making improvements every day.



Last year, with Russia entering into the WTO, the whole dynamic of commodities changed here in Russia. Import duties went from 40 per cent down to 5 per cent on pork. What was once a “captive audience” now had to deal with competition, which dropped prices down to below 60 (about $0.87 USD) rubles per kilogram. In January 2013, Russia changed its import policy (restricted imports) and prices came back up.

Russian Vice Premier Arkady Dorkovich in a news conference earlier this year assured the Russian media and people that although imports were down from previous years, there was actually an 11.3 per cent increase (the first half of 2013) in domestic pork production. He also said at that time that Russia has seen an overall decrease of 20 per cent in backyard pigs (entire country) and increase by 28 per cent of the larger producer.

African Swine Fever definitely has impacted the pork production in Russia. A few years ago, the model showed 60-70 per cent backyard pigs, with the remainder being large (over 100 animals) producers. Now the reverse is true – less than 30 per cent of the pigs in Russia are backyard pigs and 70 per cent are being raised on large sites. Especially here in the southern region, there are very few backyard pigs.

Russia is a perfect location for pig production: open land, grains for feed and plenty of available people to work in the farms. Once the infrastructure catches up to the pace that the North American inspired buildings are being built, we will see more Russian pork being exported around the world.



Genesus Global Market Report
Prices for the week of October 7, 2013


Country

Domestic price
(own currency)

US dollars
(Liveweight a lb)

USA (Iowa-Minnesota) 89.8 USD/lb carcass 66.45¢
Canada (Ontario) 172.35 CAD/kg carcass 60.37¢
Mexico (DF) 23.3 MXN/kg liveweight 82.12¢
Brazil (South Region) 3.83 BRL/kg liveweight 80.31¢
Russia 75.58 RUB/kg liveweight $1.07
China 15.22 RMB/kg liveweight $1.13
Spain 1.404 EUR/kg liveweight 86.09¢
Viet Nam 45000 VND/kg liveweight 96.74¢
South Korea 3257 KRW/g liveweight $1.39

Mustang Sally Farm

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Re: World Hog news:
« Reply #680 on: October 22, 2013, 04:09:06 AM »

Pork Commentary: Mexican National Pork Conference Report
16 October 2013

Jim Long is President &
CEO of Genesus Genetics.


MEXICO - Last week we attended Mexico’s National Pork Confederation Conference which was held at Ixtapa Azul Resort on the Pacific coast, writes Jim Long.

Our Observations:
•We were honoured to be one of the guest speakers at the conference. We are well known in Mexico as this commentary has been translated for over a decade into Spanish weekly and featured on Mexico’s and Latin America’s major swine website Porcicultura.com


•The conference was excellent, well organized with tremendous facilities for meetings and dinners. An event that covers four days at all inclusive resort with a convention center allows participants to have an enormous amount of interaction in a comfortable environment.


•Mexican producers like their counter parts in the United States and Canada have been challenged by high feed prices compared to swine prices. Despite this Mexico’s Swine production has increased over the last five years.


•Historically Mexico’s hog prices run about 10-15 per cent above US Midwest prices. It appears this is because the cost of transportation to bring pork to Mexico. Mexico is the United States largest global market for hams. Mexico is a net importer of pork. The farther you get from the US border in Mexico the higher the price for hogs in Mexico. Currently Mexico’s average hog price is about 23.20 Pesos/kg or about 81.29¢ USD/lb.


•Mexican producers have higher hog prices that the US but they also have higher feed prices as Mexico is a net importer of corn and Soybean meal. We would estimate the higher feed prices negate the higher hog prices.


•One presentation at the conference indicated that Mexico averages approximately 15.5 market hogs per sow per year at significantly lower number than Canada or the USA. We believe the main reasons for this is disease challenges and lack of genetic progress.


•Disease challenges are magnified by the warm and mostly humid climate that keeps disease organisms alive. PRRS, mycoplasma etc. are quite prevalent. Also a large amount of the pig production are in close proximity to each other, which always leads to problems no matter what country you are in.


•When we speak of Genetic lag it’s not because of lack of Genetics available. All the major player are in Mexico – PIC, (Genetiporc not any more), Topigs, Hypor, Genesus etc. The main problem we see is the fixation on closed herds and the fixation on only using AI. Due to health reasons many decided to close their herds. Our experience tells us closed herds only using AI is a recipe for Genetic lag and the subsequent lower production and profitability. Proper Quarantines and purchasing from High Health sources minimize any risk, the lower productivity of up to 5 pigs per sow per year is economic suicide. One swine producer with a closed herd was explaining the virtues of his plan, he was also a chicken producer. We asked him does he raise his own chickens for genetics. He looked at us like we were crazy, (maybe we are) of course he didn’t. We asked him why he thought he knew how to run a swine genetic program but not a chicken one. Bottom-line, Swine genetics are much more complicated than chickens. It’s specialized and the leading producers globally recognize the need for aligning with a genetic leader. A-1 alone is a path to continued mediocrity in Mexico or any country.


•We did not pick up much sow herd expansion in Mexico. Producers are licking their wounds from the last couple of years and are needing to rebuild equity.


•We have been doing business in Mexico the last twenty years. Like Canada-USA there are less producers, but they are the same ones, only older. An industry of survivors.


•The Genetiporc purchase by PIC has big implications in Mexican Swine Genetic Industries. PIC is number one and Genetiporc is number two. Put together PIC has a virtual monopoly. The leader of Genetiporc Mexico who was instrumental in building from scratch over the last twenty years is gone. The 11 million dollars PIC says they will gain in synergy savings in the Genetiporc purchase has this human consequence and we expect many more coming.


•The virtual monopoly by PIC could be seen at the conference. Neither PIC nor Genetiporc had an exhibit, only Genesus. We have Genesus Mexico President Carlos Peralta (former Vice-President PIC Latin America) and Carlo’s Rodriguez (former PIC technical director) leading the Genesus Mexican Team. One’s adversity (Genetiporc employees) is another’s opportunity (Genesus).

Summary

Mexico producers like producers in the rest of North America will benefit from lower feed prices over the coming months. This coupled with strong hog prices will lead to good profitability. Mexico will also benefit further with what we expect will be growth in US pork exports to China with the Chinese Smithfield purchase. Every extra pound of pork that goes to China can’t go to Mexico.


Author: Jim Long, President & CEO, Genesus Genetics 

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Re: World Hog news:
« Reply #681 on: November 02, 2013, 09:08:18 AM »

Brazil: Hog Markets
31 October 2013
Genesus - The first power in genetics

BRAZIL - The price recovery seen in Brazil since the beginning of September has strengthened and firmed since my last report. In some regions of Brazil, the price has actually broken the barrier of R$4.00 per kg live weight, the first time this has happened. This is equivalent to US$1.83 per kg live weight, writes Martin Riordan from Genesus Brazil.

With production costs varying around US$1.30-1.40, finally producers are receiving a decent margin.

On the international scene, September was not a good month. Exports fell in terms of both volume and value. Brazil exported 45,996 metric tons of pork products in September, an impressive reduction of 24 per cent in volume and 21.6 per cent in value compared to September 2012.

The president of ABIPECS (association of pork exporting plants) explains this reduction as a reaction to less supply, stronger domestic demand bring higher prices and logistics problems at the ports during a week in September. Logistics problems in ports are a traditional problem for all export industries in Brazil, which no government has yet taken effective measures to resolve.

Total exports in 2013, at 389,289 tons, are more than 9 per cent down on the same figure for 2012, making it unlikely that the target of 600,000 tons will be achieved this year.

Russia continues as the most important destination for pork exports, taking 27 per cent of the total in 2013. However, it is a fickle and unreliable market, as non-commercial decisions can affect export possibilities at any moment.

Hong Kong comes in a close second place, taking 23.4 per cent of total exports, followed by Ukraine with 14.2 per cent.

Figures from ABIPECS show that the south of Brazil is the region that most exports pork products. The state of Santa Catarina has been responsible for 33.8 per cent of exports in 2013, closely followed by the neighbouring state of Rio Grande do Sul with 31.6 per cent. The third state in this region, Paraná, contributed 7.9 per cent, making a total of 73.3 per cent from the region. The states of Goiás (13.6 per cent) in the Center-West region and Minas Gerais (8.8 per cent) in the South-East, are the only other states with expressive exports.

So it seems probable that surviving producers will have a happier end-of-year that those of recent years. Although I am no longer an active producer, it leaves me contented to know that finally the professional hard work of producers is being rewarded. Long may it last! (But I’m not going back…)



Genesus Global Market Report
Prices for the week of October 21, 2013


Country

Domestic price
(own currency)

US dollars
(Liveweight a lb)

USA (Iowa-Minnesota) 85.41 USD/lb carcass 63.20¢
Canada (Ontario) 171.35 CAD/kg carcass 59.48¢
Mexico (DF) 23.5 MXN/kg liveweight 82.80¢
Brazil (South Region) 3.89 BRL/kg liveweight 80.57¢
Russia 77 RUB/kg liveweight $1.09
China 15.73 RMB/kg liveweight $1.17
Spain 1.368 EUR/kg liveweight 85.50¢
Viet Nam 45,000 VND/kg liveweight 96.83¢
South Korea 3,146 KRW/kg liveweight $1.35

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Re: World Hog news:
« Reply #682 on: November 10, 2013, 01:26:02 AM »

Global Pig Production Falls Short of Genetic Potential
07 November 2013

Novus International


GLOBAL - Pigs fall well short of their genetic potential in today’s production system – costing the industry millions of dollars in lost performance, according to a swine nutrition expert.

Dr Jeffery Escobar, Senior Manager Swine Research at Novus International, told a group of European producers visiting the company’s headquarters in St. Louis, USA, that despite various improvements in production efficiency, the industry does not capitalize on the full genetic potential of animals.

“There remains a vast gap between swine performance on a conventional farm and performance in a facility that is more aseptic and perhaps targeted towards research. That clearly indicates that we are way below the ceiling for the genetic potential for performance of animals.”

“If animals are removed from conventional farm facilities and placed into ultra clean facility, optimized for air quality, water purity, feed mix, environment, manure management, and disinfection, then performance can significantly improve.

“What the gap illustrates is that there is progress we can make to achieve better performance by improving nutrition, management, environment, and all other aspects that contribute to express or repress the genetic potential of animals.”

While Dr Escobar said that growing animals in such clean environment on a full production site may be unrealistic, producers can get closer to that goal of reaching the animals’ full genetic potential.

One way to improve that performance is to optimize animal feed, to ensure individual animals are receiving the ideal amount of nutrients.

“A key area for improvement is mineral consumption. Minerals are very important for healthy development but used incorrectly, or without proper care, they can be almost totally ineffective. Minerals have antagonistic properties – meaning feeding too much of one can cancel the intended effects of another.”

Dr Escobar says that by using chelated trace minerals – where the mineral (such as Zinc or Copper) is bonded to another molecule such as methionine hydroxyl analogue– such antagonisms are avoided and more of the mineral’s benefits can be realized.

“Chelated trace minerals can help to improve structural health in bones, joints, and tendons, aid fertility and reproduction, and enhance growth in terms of feed efficiency,” he explained.

To learn more about Novus, MINTREX chelated trace minerals and the company’s complete portfolio of products and programs designed to support pork producers in all aspects of production

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Re: World Hog news:
« Reply #683 on: November 13, 2013, 10:46:07 AM »

FAO Food Outlook: Pig Meat
Tuesday, November 12, 2013


In its latest 'Food Outlook' report, the UN Food and Agriculture Organization (FAO) forecasts 2013 global pig meat production to reach 114.6 million tonnes, which is 1.7 per cent more than last year, while trade will be two per cent lower than 2012 at 7.4 million tonnes.

Meat and Meat Products

Moderate production growth; trade mixed




Major meat exporters and importers

World meat production is anticipated to expand modestly in 2013 to reach 308.3 million tonnes, an increase of 4.2 million tonnes, or 1.4 per cent, compared to 2012, according to the FAO's Food Outlook report in November 2013. Growth will be concentrated in the developing countries, which are also the main centres of rising demand.




Figure 1. Gains and losses in global meat trade

At the international level, prices have remained high by historical standards for the past two years. The FAO Meat Price Index (2002-04=100) averaged 184 in October 2013, little changed when compared to October 2012. So far this year, a reduction in feed costs has facilitated some price decrease for poultry; however, prices of the other categories of meat have remained either static, in the case of bovine and ovine (sheep) meat, or increased, in the case of pig meat.

International meat trade is forecast to reach 30.1 million tonnes in 2013 – representing 10 per cent of global production. Overall, trade is predicted to increase by 1.1 per cent, a slower pace than in 2012, and well below the rates of six per cent and seven per cent seen in 2010 and 2011, respectively. This is a reflection of improved national supplies in a number of importing countries and a fall in production in some of the principal exporters.

There are marked differences in trade in the different varieties of meat, with moderate growth forecast for bovine meat and a substantial increase for sheep meat, while poultry may remain unchanged and pig meat decline.



Pig Meat

Growth in Asia to sustain production

Continuing several years of expansion, production of pig meat is expected to grow by 1.7 per cent to a record level of 114.6 million tonnes in 2013. Most of the increase is forecast to come from developing countries, where almost two-thirds of production originates. Conversely, the developed countries overall are expected to face a small decline.

Asia is the leading pig meat producing region, accounting for almost 60 per cent of the total. Strong consumer demand and government support policies are anticipated to result in China's output reaching 54.8 million tonnes, nearly half of world output. Recovery from FMD depletion continues to boost production in the Republic of Korea. Elsewhere in Asia, slight to moderate growth is forecast in Viet Nam, the Philippines, Japan, Thailand and Indonesia – in some instances, limited by competition from other types of meat.

In the Americas, Brazil - the world’s fourth largest producer, is set to increase output, stimulated by improved prices. Steady growth is also anticipated for Mexico, underpinned by improved genetics and productivity, which are translating into more piglets per litter and higher animal weights.

In the EU, at 22.5 million tonnes, the second most important producer after China, compliance with animal welfare requirements relating to the housing of sows is expected to depress output for a second year.

In the United States, lower feed costs and increased slaughter, associated with an expansion of the breeding herd, mean that it is on track to register growth, albeit limited. Producers in Canada have struggled to remain profitable and a number have ceasing operations – consequently a small decrease in output is anticipated.

In the Russian Federation, reduced feed prices and government policies favouring large-scale farms are expected to prompt a four per cent expansion.




Figure 2. Limited supplies and strong demand sustain meat prices

Trade declines

Reduced output among some of the principal exporting countries and a decrease in demand by several major importing countries are projected to lead to a decline in 2013 pig meat trade with shipments dropping by two per cent, to 7.4 million tonnes.

Imports by Asian countries, representing half of total trade, are set to record a decrease of 2.4 per cent. Procurement by the Republic of Korea is forecast to register a substantial drop for the second year in a row, falling by around 100,000 tonnes, or 20 per cent. This sharp decline is consequent on a build-up of stocks and low domestic prices following a strong recovery of production after a Foot and Mouth Disease (FMD) outbreak in 2011. Japan, the largest importer, is anticipated to cut purchases by four per cent, due to expanding production and competition from poultry and imported beef. Imports by China are expected to rise six per cent as domestic production has been unable to keep up with demand.

In Europe, deliveries to the Russian Federation fell by 15 per cent in the first eight months of this year and are expected to finish the year well below 2012, reflecting growing production, a fall in domestic prices and animal health-related import restrictions. In Ukraine, after imports more than doubled in 2012, animal disease and public health restrictions introduced during the first part of the year have led to a sharp fall off in purchases, now anticipated to finish the year 30 per cent lower. Imports are also down substantially in Belarus, mainly due to restrictions on trade with the Russian Federation related to outbreaks of African swine fever in some regions.

Elsewhere, purchases by Mexico and the United States are anticipated to decrease, while some smaller-scale importers, including Australia and Angola, could see imports grow.




Figure 3. Pork and poultry meat producers benefit from reduced feed costs

In terms of exports, limited availability in the EU, the United States, Canada and Brazil, which account for 85 per cent of world sales, represents a constraint to trade. Additionally, Brazil has faced health and animal disease-based access restrictions in some markets. As a group, the above four countries are anticipated to record a three per cent reduction in sales. This will be counterbalanced to a limited extent by larger shipments by smaller-scale exporting countries, including China, Chile, Mexico and Thailand. Sales by Mexico, in particular, have risen substantially so far this year, assisted by its newly recognised status as free of Classical Swine Fever.

November 2013

Mustang Sally Farm

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Re: World Hog news:
« Reply #684 on: December 01, 2013, 04:46:11 AM »

Husbandry Authority Prohibits Pig Imports from US
29 November 2013

DOMINICAN REPUBLIC - The Directorate General of the Authority for Livestock Husbandry has reported that the ban on imports of live pigs from the US is to be maintained due to the presence of the porcine epidemic diarrhoea virus (PEDv).

It has also been reported that local farms have increased biosecurity measures and pork producers have heightened protection and surveillance throughout.

The official also added that PED is a disease caused by a coronavirus that leads to passage of watery stool and vomiting in pigs and these signs are usually observed in newborns until two weeks of age as well as in the mothers of these piglets.

He argued that the pathology is characteristic of pigs and is not transmitted to humans. He also added that the infection in pigs occurs only when they come into contact with other affected animals or through fomites (shoes, tyres, clothing etc.) that are contaminated by the virus.

Since the diagnosis of PED in the US in May 2013, the Dominican Republic's Ministry of Agriculture has banned imports of live hogs into the country.

The agricultural official said that complaints were received on 12 November about vomiting and diarrhea in piglets at farms in the township of Cayetano Germosén, Espaillat province, and the animal health authorities proceeded to do some research to determine probable causes of the problem.

"We sampled pigs and established quarantine of the affected areas," he said.

He said the samples were then sent to Central Veterinary Laboratory (LAVECEN) as well as to the National Laboratory Service (NLS) in Ames, Iowa, and the results are still pending.

He added that producers were advised to implement strict biosecurity measures and mobilisation of pigs exclusively to slaughter as well as washing and disinfecting transport units and animal feed.

Mustang Sally Farm

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Re: World Hog news:
« Reply #685 on: December 12, 2013, 12:50:02 PM »

Russia: Hog Markets
06 December 2013
Genesus - The first power in genetics

RUSSIA - The first week of December sees the prices for pork holding steady in Russia as this region heads into the Christmas holidays. In the southern region, price of pork is about 90 rubles per kilo, and in the northern regions, about 75 rubles per kilo. This is equal to a range of $107 to $128 CWT, writes Susan Wulf, Managing Director of Genesus Life Science.

Of course, this great fluctuation is driven by supply and demand, as the regions in the south are still affected by African Swine Fever. Even though almost every backyard pig and farm without biosecurity protocols has been eliminated, governmental rules prevent the repopulation of the production farms for a year after the depopulation, and then they need to prove biosecurity protocols are in place before they restock their farms. Only the largest producers are currently providing meat to the marketplace; even the transport of pork from other regions within Russia is strictly monitored and regulated – hence the higher price for pork in the areas most affected by ASF.

We are seeing a slow and cautious movement to restocking these farms. Quite a few growers have completely left the farms, but a few devoted producers are looking to restock their farms after the Christmas holidays in January.

We met several of these producers last week at the YugAgro farm show in Krasnodar. This is a yearly trade show, spanning several buildings as well as every available inch of space outside. Even though the weather was cold and rainy, it didn’t stop those involved in agriculture from filling the aisles and booths.

Genesus was the only swine genetic company that was represented at the show; our clients and potential clients were pleased with the growth, health and quality of the meat that they were producing. Genesus was able to show our data in Russia and how we can improve the production numbers over what is currently seen in the region. Cautious plans are being made to repopulate farms of what we consider to be moderate sized (500 females) and we at Genesus are proud to be a local genetic company that can assist them with this. With our Canadian roots and Russian production, Genesus offers the best genetics in the world to our customers in Russia and Eastern Europe.

Speaking of Russian holidays as I did earlier, it is interesting how Russian holidays differ from what we know in North America. First, Christmas is a different date (7 January) and is not celebrated with gifts galore as we do. The gift giving day is New Year’s Day, and depending on your family, can either be “new” New Year’s Day (1 January) or “old” New Year’s Day (14 January). Most, however, celebrate it as the 1st, as almost all of Russia completely shuts down for the holidays from 30 December through 20 January (the day after Holy Water Day – the day that all water is deemed holy in the country). Candies and fruit are the gifts that most children receive on Christmas!

This is a time of extravagant meals, with pork and fowl being the centerpiece of these feasts, family gatherings, drinking and merriment. Great care is taken in the meal preparation and also presentation; to be invited to one of these get-togethers means you are one of the family and honored as such. Only the bare minimum of work is done during these weeks as it is considered sacred family time and is treated by everyone as such.

Merry Christmas and blessed holidays from all of us at Genesus in Russia.



Genesus Global Market Report
Prices for the week of November 25, 2013


Country

Domestic price
(own currency)

US dollars
(Liveweight a lb)

USA (Iowa-Minnesota) 80.34 USD/lb carcass 59.45¢
Canada (Ontario) 155.07 CAD/kg carcass 52.64¢
Mexico (DF) 25.1 MXN/kg liveweight 86.98¢
Brazil (South Region) 3.75 BRL/kg liveweight 71.40¢
Russia 75.5 RUB/kg liveweight $1.03
China 15.62 RMB/kg liveweight $1.16
Spain 1.29 EUR/kg liveweight 79.57¢
Viet Nam 44,000 VND/kg liveweight 94.59¢
South Korea 4,250 KRW/kg liveweight $1.82

Mustang Sally Farm

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Re: World Hog news:
« Reply #686 on: December 16, 2013, 03:56:04 AM »

October Pork Export Volume, Value Down from Last Year
12 December 2013

BRAZIL - The volume and value of Brazilian pork exported during October were down compared to the same period last year.

The latest figures from ABIPECS reveal that Brazil exported 52.022 tons of pork in October 2013, compared to 61.742 tons in the same month last year. This marks a drop of 16 per cent. The total volume of pork exported from January to October 2013 was 441.3 tons compared to 489.9 tons during the same period last year, indicating a ten per cent drop.

The value of pork exported this October was US$142.76, down by 14.2 per cent compared to October 2012, where the figure stood at US$166.4. The total value of pork exported during January to October 2013 was US$1,155.7, compared to US$1,254.2 during the same period last year, down by eight per cent.

The average value of pork in October 2013 was $2,744 per ton, up two per cent compared to the same month last year, where the average value was $2,695 per ton. Overall, the average value of pork during January to October 2013 was $2,619 per ton, up 2.31 per cent compared to the same period in 2012, where the figure stood at $2,560 per ton.

Mustang Sally Farm

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Re: World Hog news:
« Reply #687 on: December 24, 2013, 07:01:39 AM »

Health, Welfare and Production Problems in Organic Suckling Piglets
Wednesday, December 18, 2013


A review of the different health and welfare issues in weaner pigs reared under organic systems as well as their prevalence with the aim to reduce the risk factors by a group of EU-based researchers.

A new paper in the journal, Organic Agriculture by first-named author, Christine Leeb from the University of Natural Resources and Life Sciences in Vienna, Austria and co-authors reviews the available information on the different health and animal welfare issues in organic pigs in relation to weaning.

It addresses the most relevant health and welfare problems and reviews their potential hazards and associated risk factors.

Regarding health, problems related to post weaning diarrhoea, cold stress, skin lesions, endoparasites and post weaning multisystemic wasting syndrome (PMWS) are described.

Reasons for distress and frustration in weaned piglets are identified as mainly separation from the mother, a new environment, mixing and fear of humans.

Finally, hazards and risk factors for health and welfare in organic weaners are related to animal characteristics, housing systems, feed/nutrition and management.

Generally, conclude Leeb and co-authors, diseases around weaning are multifactorial in nature, with several factors contributing simultaneously as stressors at the time of weaning. They add that, in order to solve problems around weaning, the complexity and the individuality of farm systems need to be taken into account.

Mustang Sally Farm

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Re: World Hog news:
« Reply #688 on: December 31, 2013, 07:27:56 AM »

Hidden Costs of Sow Lameness
23 December 2013
Genesus - The first power in genetics

US & CANADA - In recent weeks, Canadian and US researchers have been touring the country delivering a series of workshops aimed at raising awareness of the cost of sow lameness in commercial swine herds, writes Glenn Kuhn, Swine Technical Manager at Genesus Inc.

The workshops, which include researchers Dr Laurie Connor of the University of Manitoba and Dr John Deen of the University of Minnesota are being sponsored by Swine Innovation Porc (swineinnovationporc.ca) and the Prairie Swine Centre Inc. (prairieswine.com) and are part of a growing focus on what has often been a little talked about issue for producers.

According to Dr Laurie Connor, who spoke at the fall meeting held at the University of Manitoba’s National Centre for Livestock and the Environment, lameness is the number two reason for culling. She suggests that lameness is clouded in with reproductive issues and may be a bigger problem than producers realise.

Currently, it is estimated that 8-15 per cent of sows culled are removed for lameness. The question for Connor and her colleagues is to dig deeper and unearth just how broad the issue is.

"The percentage [of sows] culled for reproductive issues—how many of these are also lame? This is not just an ‘old sow’ issue" she said. "Development of reliable tools for early identification of lameness traits in order to improve economic selection [is critical]". Dr John Deen also commented on what he feels is a lost opportunity for the swine industry.

"We get rid of our failures [when we cull a sow]. We don’t know if it was the right decision or the wrong decision and we pat ourselves on the back." Dr Deen added that our approach to sow removal has historically been too ‘simplistic’.

Both Dr Deen and Dr Connor agreed that the old axiom, ‘you can’t improve what you can’t measure’ is a challenge rather than a roadblock when it comes to sow lameness. Gilt conformation, housing and flooring type influences, awareness and early detection are all connected with finding effective ways to measure sow lameness on-farm.

While a great deal of research is being done at places like the National Centre for Livestock and the Environment at the University of Manitoba using Genesus Genetics involving state of the art technologies such as force-plate scales, accelerometers and infrared thermography, more simple tools such as a visual numerical scoring system for sows that are observed walking from gestation to farrowing may provide a practical way in which sows can be evaluated and their level of lameness (or absence thereof) recorded as part of the on-farm production data.



Dr Laurie Connor framed the issue in terms of economic impact, "Lameness decreases longevity, decreases PSY, increases expenses, increases workload and decreases salvage value." With reduced productivity alone of 0.02 piglets/sow space/day and an estimated economic impact of $180/sow space, the effects for the US and Canadian industries could run into the hundreds of millions of dollars annually.

Mustang Sally Farm

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Re: World Hog news:
« Reply #689 on: January 12, 2014, 02:38:12 AM »

Brazilian Pork to Gain New Markets in 2014
10 January 2014

BRAZIL - The Ministry of Agriculture, Livestock and Supply (MAPA) is negotiating the opening of new markets for the export of Brazilian meat.

One of the most anticipated this year, is a possible conquest of Brazilian beef access to the United States, which has been under negotiation since 1999.

Negotiations with China have also been intense. Brazil has 24 plants approved for export to the country and the goal is to expand and diversify export companies.

For pork, five plants have been empowered. Compared to beef, the expectation for 2014 is to reopen the Chinese market, closed since the notification of Bovine Spongiform Encephalopathy (BSE) in 2012. Currently, eight units are certified to export and the repeal of the ban is expected to add nine more stores.

Saudi Arabia is another important market. The country is traditionally an importer, but suspended purchases after the BSE episode. A Saudi mission in February is expected to lift the embargo and enable establishments.

There is still the expectation of a market opening in South Korea for pork. It is the 5th largest importer of the product and is considered strategic for the diversification of Brazilian exports.

Also in relation to pork, domestic shipments can be resumed this year for South Africa, after they were suspended in 2005. In October last year the Minister Antonio Andrade was reunited with fellow South African, Tina Joemat-Pettersson folder, and negotiations progressed.

Mexico is also a possible destination for Brazilian poultry meat this year. In 2012, the country enabled five plants that could access the market through a tariff quota. The government expects to reach 40 authorized units in 2014.

 

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