Monday, March 14, 2011Print This Page
Import Restrictions Following Dioxin Scare Removed
GLOBAL - Hong Kong, the Philippines and Serbia are to lift all import restrictions they introduced after the dioxin incident in Germany.


They are able to do so as they have received the necessary information and reassurance that the situation is under control and that products can be safely imported from the EU, according to European Commission Trade officials.

On 27 December 2010, the German authorities informed the European Commission that a batch of fatty acids, which was meant to be used for technical purposes, had been mixed with fat for the production of feed. At the earliest opportunity, the German authorities had imposed strict controls to ensure that no contaminated feed or food was placed on the EU market or exported to third countries.

A fact-finding mission by the Food and Veterinary Office (FVO), the European Commission inspection service of the Health and Consumers Directorate General, took place in Germany from 26 to 28 January 2011.

The mission team did not find any deficiencies which would call into question the effectiveness of the corrective measures taken by the German authorities to tackle the contamination. These measures, which involved very significant resources, were found to have been carried out in a professional and competent manner.

The EU Member States, meeting in the framework of the Standing Committee on the Food Chain and Animal Health on 22 February 2011 endorsed a statement recognising that the German authorities had been managing the contamination incident very efficiently and that they had adopted a very strict precautionary approach to manage the incident with a view to ensuring a high level of feed and food safety.

They determined that the contamination incident is fully under control by the German authorities and there is no risk that potentially contaminated food and feed are placed on the EU market or dispatched to third countries. "This incident has once more demonstrated the high reliability, capacity and effectiveness of the EU food safety system to identify and rectify problems which may arise. This is of great comfort not only to the EU consumer, but also to third countries importing from the EU," said the EC Trade office.

"Unfortunately however, the EU continues to face unjustified and serious import restrictions from several third countries. In most cases these restrictions affect pork products and/or Germany, while in a few cases, they affect all products of animal origin and/or all EU Member States.

"More specifically, we have been informed that:

Belarus and China have suspended imports of certain products from Germany;
Moldova, which lifted their ban on live animals, animal products and feed from Germany has introduced additional certification requirements to be provided by Germany (in practice, re-establishing a ban);
Argentina, Japan, Oman, Russia, Singapore, South Korea, Taiwan and Ukraine have introduced "hold and dioxin testing" measures (before products are allowed to enter their countries)."
The European Commission - together with Germany and the EU Delegations in those third countries where import restrictions persist - continue to press the competent authorities to lift any remaining unjustified import bans or additional testing requirements. We also invite EU business to continue to inform us of any developments in this matter.

In 2010, exports of pig meat from the EU were valued at approximately €3.9 billion.

It is anticipated that the actions of the Market Access Partnership should lead to an increase in exports from this level in 2011.

Tuesday, March 15, 2011Print This Page
Pork Commentary: Earthquake - Market Mover
CANADA - This week's North American Pork Commentary from Jim Long.


Jim Long is President &
CEO of Genesus Genetics.
The earthquake in Japan last week helped push May corn down 36 ¾ cents a bushel and May soybeans down 79 ½ cents a bushel. Japan is the US’s largest corn customer and buys 30 per cent of the US pork exports. The fact that Japan is such a major customer of US pork was seen with Friday’s June lean hogs off 1.95 to 99.650.

The tragedy in Japan and the quick effect it has had on the US grain and pork market indicates the interdependence of much of our global economy including pork. For a couple months the US pork industry has been supported by the devastating foot and mouth outbreak in South Korea. Now the question short term will be port facilities in Japan been damaged too much to import grain? What has happened to the Japanese swine farms? Pork storage? and Packing plants? Will the damage lead to less or more pork being imported? We have lots of questions but no answers. We do suspect Japan has the resources and capacity to recover quickly.

Sometimes we observe world events and we are discouraged. In these circumstances we found it more personal. We have significant swine genetic business with the major Japanese swine producer. With that business relationship has come personal knowledge and friendship with our Japanese colleagues. When we heard of the crisis, we were concerned for their family’s safety. Fortunately they are safe. The earthquake was so far away however it affects our industry and our personal lives.

Other Observations
Fed Cattle prices are strong around $1.17 live weight a pound. Such high prices make pork in the stores look like a bargain. With fed cattle futures averaging almost $1.20 live weight per pound for the next year we see this as only to price supporting for hogs.


Chicken broiler egg sets and chick placements continue to run almost the same as a year ago. Composite average broilers 12 city is averaging 80.67 per pound compared to 82.59 per pound a year ago. We all know feed is a lot more expensive this year compared to last. We can’t see how the chicken price relative to feed cost is going to head to chicken expansion.


Reports on the foot and mouth in South Korea are now estimating pork production is down 33 per cent to the lowest point in twenty years. It will take a minimum two years to recover in the meantime more pork will be imported. About 5 million hogs per year equivalency will need to be replaced. Most of the imported pork will come from USA-Canada.
National Pork Board
We had some negative feedback last week from some readers who do not like our support for the new pork slogan Pork: Be Inspired. We listened but we did not change our mind. The slogan itself is not as important to us as the direction of the Pork Board. The new slogan tells us instead of putting their head in the sand we lost market shares for twenty years there is a plan to fight back. Getting pork eaters to eat more is strategic. For the first time ever there is a target to increase pork consumption 10 per cent. 10 per cent more can be reached with regular pork eaters consuming one more pork meal a month and intermittent eaters twice more per year. It is a target. It is a plan. Something we don’t believe there ever was before. We don’t know if it will work, nobody does but sitting back and watching us lose market share is an option we don’t like the most. Consequently we support the National Pork Board its CEO Chris Novak, its directors and its staff. For the first time in a generation our check off dollars are being used for a plan to increase market share.


Author: Jim Long, President & CEO, Genesus Genetics

Tuesday, March 15, 2011Print This Page
Corn and Soybean Prices – Mission Accomplished?
US - In our newsletter of 18 January, it was suggested that corn and soybean prices had the dual objectives of allocating old crop supplies so as to maintain pipeline supplies at the end of the year and directing spring planting decisions writes Darrel Good, Agricultural Economist at the University of Illinois.


Specifically, prices needed to ensure an increase in corn acreage and to maintain soybean acreage at the 2010 level.

For soybeans, the declining pace of both the domestic crush and exports, along with the prospects for a large increase in double-cropped acreage in 2011, suggested that soybean prices had increased enough by mid-January to accomplish the dual price objectives. That conclusion was reinforced by the improving condition of the Brazilian soybean crop and prospects for a record harvest in 2011. The USDA confirmed prospects for a record large Brazilian soybean crop last week. Soybean prices increased another $.40 from 18 January to the peak on 9 February. Since then, May 2011 soybean futures have declined about $1.30. The decline in November 2011 futures has been only slightly less.

For corn, the conclusion in mid-January was that prices would need to remain very strong to slow the pace of consumption and to motivate a large increase in planted acreage. May 2011 corn futures increased nearly $.60 from January 18 to the peak on 4 March. December 2011 futures increased about $.40 to the much earlier peak on 11 February. Corn prices have declined sharply since early March and are now back to the level of mid-January. The rapid decline suggests the market believes that corn prices have accomplished their objectives. The likelihood that old crop consumption has been slowed enough comes from two perspectives. First is the macro-perspective. Recent world events are seen as a threat to the fragile economic recovery that is underway. Political unrest in North Africa and the Middle East has pushed crude oil and gasoline prices nearly 15 per cent higher in the past month. Those higher prices could slow economic growth and curb commodity demand, including demand for agricultural commodities. Now, the devastating earthquake and tsunami in Japan may challenge the Japanese and world economies, pointing to the possibility of a further slowdown in global demand growth.

The second perspective of corn demand comes from the flow of information relative to the pace of consumption. During the first half of the 2010-11 marketing year, ethanol production, and presumably the amount of corn used for ethanol production, was 15 per cent larger than during the same period last year. Last year, however, ethanol production was relatively small during the first half of the corn marketing year and accelerated rapidly in the last half of the year. Year-over-year increases in ethanol production will be much smaller for the last half of the 2010-11 marketing year. Still, use during that period needs to be only 2.3 per cent larger than use of a year ago to reach the USDA projection of 4.95 billion bushels of corn used for ethanol production.

The pace of corn exports has also been slow enough that the USDA projection of marketing year exports of 1.95 billion bushels is not expected to be exceeded. While the pace of corn export sales accelerated during the 5 weeks ended 24 February, the pace of shipments remains generally slow. Cumulative marketing year export inspections through March 10 were about 10 million bushels less than the total of a year ago. In addition, Census Bureau estimates of corn exports through January were only 26 million bushels larger than cumulative inspections. Last year, Census estimates through January exceeded inspections by 63 million bushels. Like last year, exports will have to increase rapidly in the last half of the year in order to reach the USDA projection for the year. That pace may now be threatened by the situation in Japan, although not much is known about damage to total port capacity, transportation infrastructure, or the livestock industry. Japan is the largest importer of US corn and as of 3 March, 116 million bushels of corn sales to Japan had not been shipped.

Finally, corn prices have been pushed lower by ideas that producers have already made plans for a large increase in corn acreage in 2011. Some are projecting planted acreage above the USDA expectation of 92 million acres and even above our calculation of a needed 93 million acres. These expectations of large corn acreage underscore the importance of the USDA’s 31 March Prospective Plantings report.

World Agricultural Supply and Demand Estimates - March 2011
The forecasts for red meat and poultry production and prices in 2011 have been raised from a month ago, according to the latest USDA World Agricultural Supply and Demand Estimates.

Livestock, Poultry and Dairy
The forecast for 2011 red meat and poultry production is raised from last month, reflecting increased production of beef, pork, broilers, and turkeys. Fed cattle slaughter will reflect expected strength in feedlot placements during early 2011 and relatively large dairy cow slaughter in the first part of 2011 will also contribute to higher beef production. However, the effects of increased cattle slaughter will be partly mitigated by lower expected carcass weights. Pork production is increased from last month as carcass weights thus far in the first quarter are well above last year. Broiler and turkey production is forecast higher in the first half of 2011. The broiler production increase largely reflects relatively heavy bird weights but the increase in turkey production forecast reflects higher increases in poult placements as well as increased bird weights. The egg production forecast is raised as the table egg type laying flock has been increasing. Estimates of 2010 poultry and egg production are adjusted to reflect data revisions.

The forecast for beef exports for 2011 is raised from last month on strength in exports to Asia. The beef import forecast is reduced as supplies in several exporting countries are expected to remain tight and a relatively weak US dollar is expected to constrain shipments. The pork and poultry export forecasts for 2011 are unchanged from last month. Trade estimates for 2010 reflect import and export data for December.

Despite the higher production forecasts, prices for livestock and poultry are raised from last month. Robust exports and improving domestic demand in the face of relatively tight meat supplies are expected to support higher price forecasts for cattle, hogs, broilers, and turkeys. Egg prices in the first quarter are forecast lower due to recent price declines.

The milk production forecast for 2011 is reduced from last month. Relatively high milk prices and increased supplies of replacement heifers are expected to encourage further increases in the cow herd through much of the year, but the rate of increase in milk per cow is forecast slower than last month. Exports are forecast higher as global nonfat dry milk and cheese demand remains strong with tight supplies in competitor markets expected through the first half of 2011. Estimates of 2010 milk production are adjusted to reflect data revisions.

Dairy product prices are forecast higher this month on strong early year prices. Strong international demand and improving domestic demand will support prices for most products. Currently tight butter stocks are also helping support butter prices. Class III and Class IV price forecasts are raised to reflect higher product prices. The all milk price is forecast to average $18.10 to $18.70 per cwt for 2011.

Wheat
US wheat ending stocks for 2010/11 are projected higher this month on reduced export prospects. Projected exports are lowered 25 million bushels with increased world supplies of high quality wheat, particularly in Australia, and a slower-than-expected pace of US shipments heading into the final quarter of the wheat marketing year. By-class changes include lower projected exports for Hard Red Spring, White, and durum wheat, partly offset by small increases for Hard Red Winter and Soft Red Winter wheat. The marketing-year average price received by producers is projected at $5.60 to $5.80 per bushel, unchanged from last month.

Global 2010/11 wheat supplies are projected 1.9 million tons higher reflecting higher production. Argentina production is raised 1.0 million tons based on higher reported yields. Australia production is raised 1.0 million tons with higher yields in Western Australia where wheat quality was not hurt by harvest rains as in the east. Other production changes include a 0.5-million-ton reduction for EU-27 with a smaller crop reported for Denmark and a 0.6-million-ton increase for Saudi Arabia on an upward revision to area.

Global 2010/11 wheat supplies are projected 1.9 million tons higher reflecting higher production. Argentina production is raised 1.0 million tons based on higher reported yields. Australia production is raised 1.0 million tons with higher yields in Western Australia where wheat quality was not hurt by harvest rains as in the east. Other production changes include a 0.5-million-ton reduction for EU-27 with a smaller crop reported for Denmark and a 0.6-million-ton increase for Saudi Arabia on an upward revision to area.

Global 2010/11 wheat consumption is projected lower with the biggest change being a 1.5-million-ton reduction in expected wheat feeding for Russia. With increased global production and reduced usage, world ending stocks for 2010/11 are projected 4.1 million tons higher.

Coarse Grains
The US feed grain balance sheet for 2010/11 is nearly unchanged this month. Projections for corn, sorghum, and oats supplies, usage, and ending stocks are all unchanged. Barley exports are lowered 2 million bushels reflecting the slow pace of shipments and sales to date. The projected marketing-year average farm price for corn is narrowed 10 cents on both ends of the range to $5.15 to $5.65 per bushel. Farm price projections for sorghum and barley are lowered slightly and the oats farm price projection is raised slightly, all reflecting reported prices to date.

Global coarse grain supplies for 2010/11 are projected 2.5 million tons lower this month with lower corn beginning stocks and reduced corn, barley, sorghum, and oats production. Global corn beginning stocks are lowered 0.6 million tons with upward revisions to Brazil exports and India feeding in 2009/10.

Global 2010/11 corn production is reduced 0.5 million tons as lower production in Mexico and India is partially offset by higher production in Brazil. Brazil corn production for 2010/11 is raised 2.0 million tons reflecting higher reported area and yields in the summer crop and expectations for increased area for the winter crop with government planting dates extended for crop insurance and loan programmes. Mexico corn production is reduced 2.0 million tons as the unusual early February freeze destroyed standing corn crops across much of the northwest winter corn region, which normally accounts for about one-fourth of the country’s total corn production. Replanting is expected to offset some of the loss, but seasonally high temperatures in the coming months limit the growing season window.

Global 2010/11 sorghum and barley production are each lowered 0.5 million tons and oats production is lowered 0.3 million tons. Lower sorghum output for India more than offsets an increase for Australia. Lower barley and oats output for Australia account for most of the reduction in world production for these coarse grains.

Global 2010/11 coarse grain imports are raised this month as increases for corn and sorghum more than offset a reduction for barley. Corn imports are raised 1.1 million tons for Mexico with the lower production outlook. Corn imports are raised 1.0 million tons for EU-27 on stronger expected feeding. A 0.5-million-ton reduction for Russia corn imports is partly offsetting. Sorghum imports are raised for EU-27 and barley imports are lowered for Russia, Saudi Arabia, and China. Increased corn feeding in EU-27 is more than offset by reductions in feeding in Russia and lower food, seed, and industrial use in India and Mexico. Projected global corn ending stocks are raised slightly.

Oilseeds
US soybean supply and use projections for 2010/11 are mostly unchanged from last month. A higher soybean meal extraction rate is offset by a small increase in soybean meal exports, leaving the projected soybean crush unchanged. Soybean oil production is increased due to a higher soybean oil extraction rate. Soybean oil used for biodiesel for 2010/11 is projected at 2.7 billion pounds, down 200 million from last month due to lower-than-expected production through January. Soybean oil exports are increased 200 million pounds to 3.0 billion reflecting continued strong export shipments and sales. Soybean oil stocks are projected at 2.4 billion pounds, down 165 million from last month. If realized, soybean oil ending stocks would be the lowest in 6 years.

The US season-average soybean price range for 2010/11 is projected at $11.10 to $12.10 per bushel, down 10 cents on both ends of the range. Soybean oil prices are forecast at 51.5 to 55.5 cents per pound, up 0.5 cents on both ends. Soybean meal prices are forecast at $340 to $370 per short ton, down 10 dollars on the high end.

Global oilseed production for 2010/11 is projected at 444.2 million tons, up 2.4 million tons from last month. Foreign production, projected at 343.7 million tons, accounts for all of the change. Brazil soybean production is forecast at a record 70.0 million tons, up 1.5 million tons from last month due to higher projected yields. Soybean production is also raised for China. Global sunflowerseed production is raised 0.3 million tons due to higher estimates for China and EU-27. Global cottonseed production is reduced with lower production in China, India, and Uzbekistan only partly offset by increases for Australia and Brazil.

Global oilseed supplies, crush, and ending stocks are projected higher this month. Soybean crush is projected higher for Brazil and India, and sunflowerseed crush is raised for China and EU-27. Higher soybean stocks for Brazil and Argentina are only partly offset by reductions for China, Canada, and India. Higher rapeseed stocks are projected for EU-27, Australia, and Turkey. Global protein meal production, consumption, and stocks are all projected higher this month.

Recorded Grades Find Favor with Many Dairy Goat Breeders

By Janet Hurst 

Recorded Grade goats are defined by the International Dairy Goat Registry as: "Those goats having little or no information available on their ancestry or of their ancestry were not registered, then the goat can be recorded as Grade. The application process to register a grade animal requires identification of the breed the animal most represents, a photo and available background information on the animal. If the animal is found to conform to the breed standards for its age and gender but has no registered ancestors, it will be entered in the Grade herdbook as Recorded by Appearance."

Many breeders favor the Recorded Grades for a variety of reasons. Most notably, selective breeding for specific traits or breeding for the elimination of identified weaknesses. Silvia and Nancy Shirley have become well known for their herd consisting of Alpines, LaManchas, Grades and one Mini Mancha. The Shirleys are located in Arkansas and their herd, "Harmony Goats," has become well-known in competitive circles at Missouri and Arkansas shows.

"We want our goats to show and milk well," Silvia Shirley said. "I find the grades versatile and interesting. We have one that is half LaMancha and half Saanen. She has the LaMancha personality but milks like a Saanen. With Recorded Grades you can get the best of two breeds. Sometimes you get a better quality animal than a purebred. To me some of the grades are more productive. Also, you never know what you are going to get, colorwise or ear wise, which makes it fun."

 

Recorded Grade dairy goats come in a wide variety of colors and types. Silvia Shirley, Flippin, Arkansas, enjoys the freedom from breeding for specific color and ear correctness and instead likes to concentrate on pairing genetics for milk production and structure with her herd of Recorded Grade dairy goats.
Photos provided by Harmony Goats Farm, raising quality LaMancha and Grade dairy goats, www.freewebs.com/harmonygoats
 

 
 

Hybrid vigor is a factor in the consideration of Recorded Grade dairy goats. "Heterosis," hybrid vigor or outbreeding enhancement, describes the increased strength of various characteristics in hybrids. As Shirley mentioned, the superior characteristics of two breeds can be combined to create one animal with traits of both breeds. Selective breeding research is currently in progress all over the world, with goats being bred for superior conformations, udder formation, stature, milk production and butterfat content. Parasite resistance is also a point of research within theses selective breeding programs. Combining the best of both breeds can result in offspring which is superior to both parents.

Silvia Shirley started with dairy goats as a 4-H project wth a Grade LaMancha. Noted traits such as "airplane ears," found in Nubian crosses, are evident in her herd. She has also found the earless appearance of LaManchas to be a dominant characteristic in her crossbred kids. However, she, like most breeders who raise Recorded Grades, feels the trade-off in the classic breed standard appearances is worth the increased production and overall increase in hardiness of the animal. It makes for an interesting kidding season as well, as one is never sure what the result of crossbreeding dairy goats might be.

The Harmony goat owners follow a strict CAE prevention program by removing the kids from their dams at birth and feeding them heat treated and pasteurized colostrum and milk. A diet of locally grown grass hay also provides nutrition. Shirley's award winning stock can be seen on her website at www.freewebs.com/harmonygoats.
 

Guide in Turkey Raising
By Pinoy Farmer | March 4, 2008





Technical advances in turkey genetics, production, and processing have created a turkey which produces a pound of meat, using a smaller amount of feed, in less time than most other domestic meat-producing animals.

All commercial turkeys produced today are the white broad breasted turkey breed. This breed was first used for commercial turkey production in the late 1950’s. By the late 1960’s the majority of the industry used this turkey breed.

The cost of raising a turkey is affected by many factors, including buildings, equipment, labor, feed costs, and interest on loans. Feed costs amount to almost two thirds of the cost of raising a turkey. Geographic location, degree of automation, and size of the farm all contribute to differences in the costs of raising turkeys.

Fast-maturing white-feathered hybrid strains are today produced in vast numbers under intensive conditions. By 10 weeks, under ideal conditions with a well-balanced ration, a turkey in a modern white hybrid turkey flock would average 6 kg in weight, with a feed conservation ratio of about 2:1.

Improvements in genetics, feed, and management practices have made domesticated turkeys more efficient at converting feed to protein than turkeys found in the wild. About 2.8 pounds of feed are required for every pound of weight gain.

Domesticated turkeys are also bred to have more breast meat, meatier thighs, and white feathers. White feathers are preferred so that, when plucked, they leave no unsightly pigment spots under the skin. Greater efficiencies have lowered costs to consumers, making turkey an excellent food value.

Breeding

The small backyard producer should select breeders from well-grown 7-month-old birds. These birds should be mated immediately so that the first eggs produced will be fertile. The preferred mating ratio is 1 tom to 10 hens.

During a 25-week laying cycle a breeder hen normally lays 88-93 eggs. At the end of this cycle, the hen is “spent” and will usually be slaughtered. Some breeders find it economically feasible to molt the hen (give her a resting period) for another production cycle. It takes 90 days to molt a hen. The hen’s second laying cycle will produce a slightly lower number of eggs (75-80).

A breeder tom turkey can father as many as 1500 poults during a hen’s 6-month laying cycle. It may be worthwhile to help maintain fertility by using two consecutive batches of toms during the season. Remove and replace all toms at the same time to guard against the odd birds being ostracised.

Fit all hens with canvas saddles to protect their backs. Also, as a further precaution, clip the tom’s toenails.

Broody hens should be removed regularly and placed in broody coops suspended above the ground. Provide broody hens with feed, water and overhead protection.

As with most heavy birds in the southern hemisphere, it is difficult to get fertile eggs hatched in time to produce birds ready for the Christmas market. This can be alleviated to some extent by housing the hens in ‘brown houses’ from 18 weeks of age. These houses are darkened from the outside sunlight, and provide 6 to 8 hours of light per day. This continues until the hens are 24 weeks of age, when the light is increased to 18 hours. Production of eggs will start 4 weeks later, reaching 50% production within 6 weeks. The toms are not ‘darkened’, but receive sufficient light 6 to 8 weeks before mating to increase their total ‘daylight’ hours to 14.

Breeding birds must be in good condition before mating and should be checked for internal and external parasites.

Nests

To avoid breakage of eggs provide a single nest 0.5 m wide by 0.5 m deep for every 5 hens.

A community nest 0.6 m wide by 2 m long, suitable for 15 hens, may be used as an alternative to single nests; however, there is usually a higher incidence of egg breakages in community nests.

Nests should be in a protected area and be provided with a floor covering of rice hulls, coarse sand, shavings or straw. Constant vigilance is required to ensure that the nests do not become a harbour for external parasites. The nests may be elevated from ground level but must be easily accessible to the hens by being fitted with a ramp and ledge. It is, however, usual for nests to be placed at ground level.

Incubation

Collect eggs three times daily and store for no longer than 7 days in a room that provides a temperature of 10°C and a relative humidity of 85%.

Turkey eggs hatch in 28 days. In forced-draught incubators, eggs should be maintained at 37.7°C during incubation, reduced to 37°C at hatching. The relative humidity at setting should be 55%, rising to 70% at pipping. These are equivalent to wet bulb readings of 30°C and 33°C.

Turn eggs at least three times daily, until the 26th day, through an angle of 45°. Larger incubators are fitted with automatic turning devices.

Brooding

Poults are notoriously difficult to start drinking and feeding as day-olds. Small heaped amounts of feed should be evenly spaced over the floor in the brooding area. One small round feeder (25 kg capacity) is adequate for every 25 poults.

Drinking water is even more important for day-old poults. The producer should introduce poults to water by dipping their beaks in the water immediately they are placed on the floor. Each small automatic water font is suitable for 50 poults.

Attract the poults to water and feed by hanging bright 100 watt ‘spotlights’ over these areas 1 m above litter level. Poults can be further encouraged to eat by placing feed in small silver-coloured aluminium trays, and to drink by putting coloured marbles in the waterers.

The temperature for day-old poults should be around 35°C, as day-old poults need plenty of heat. This temperature should be reduced 1°C every 3 days until a temperature of 21°C is reached.

Temperatures are to be used only as a guide because the best way to adjust the temperature for the comfort of the poults is to observe their behaviour. If they crowd near the heat source and chirp loudly, the temperature is too low. If they move well away from the heat source and start panting, they are too hot. Ideally they should be fairly quiet and spaced evenly under and around the heat source (see the diagram at right).

Poults are best brooded in small groups of preferably up to 250, separated by 50 cm high brooder surrounds.

Beak trimming at 10 days of age will prevent cannibalism.

Rearing

Once fully feathered at about 7 weeks of age, the poults may be given outside range of 1500 m2 (0.15 ha) per 100 birds.

Intensively housed birds are brooded and reared in the same shed at a density of 5 birds per square metre and processed by 12 weeks of age.

Feeding

Turkeys are fed mainly a balanced diet of corn and soybean meal mixed with a supplement of vitamins and minerals. Fresh water is available at all times. On average, it takes 84 pounds of feed to raise a 30 pound tom turkey.

A turkey starter diet of between 24% and 28% protein should be fed until 8 weeks of age. Ideally, feed a 28% ration for the first 4 weeks and reduce to 24% for the next 4 weeks. This protein level is reduced to 20% and fed until marketing.

See suggested table rations here

Prepared feeds should be placed in self-feeding-type hoppers to provide unrestricted access at all times.

Marketing

Traditionally, turkeys have been bought at Christmas and Easter as big birds, ranging from 2.5 to 5.0 kg plus in size (dressed weight). This requirement is slowly changing as families buy smaller one-meal birds at other times of the year. ‘Further processing’ of turkey portions is enabling the processor to attract a larger share of the consumer’s budget. The consumer can now buy over sixty different cuts of turkey and further processed turkey products such as turkey hams, steaks and sausages (smoked and broiled).

More Raising Guides and Tips

1. Turkeys may be allowed to roam about, and gather in barn at night.
2. Since turkeys eat plants, those that they should not eat must be fenced.
3. Besides grass, turkeys should be fed with mixed grated coconut, fruit peels, corn, sorghum, fish and shrimps.
4. Turkeys in coops (that are elevated from the ground), consume more food than those roaming about. But they should not be allowed to stay in coop always because this will easily wear out the flooring of their house because of their weight.
5. For 500 turkeys, 15 sacks of feed are normally consumed weekly, but this is reduced if they are allowed to roam.
6. One way is to have a shelter in the midst of their pasteurland where they will always find food and water.
7. This shelter must also provide place for sleep and nest. The shelter must be about three (3) meters high, five (5) meters wide and 10 meters long. The four sides are open, and the floor can absorb manure. In one side are nests, and at the other are food and water in separate containers.
8. The flooring should be three (3) meters longer than the shelter, fenced with about five (5) feet wire where they can mate and spread out their wings, and eat.
9. If the weather is good, they should be allowed to roam to pick insects and eat grass. So as not to run out of forage or overeat them in a place, they should be transferred from place to place in the field, separated by wire fence.
10. Feeding is twice a day — in the morning before they are set free, and in the afternoon when they come back.
11. Feed must contain 24% protein, which is not attained in most commercial feeds. In the U.S., turkeys are given: 24% protein, 2% calcium and 0.9% phosphorus. Here, they are given 16% protein, 24% calcium and 1% phosphorus. Turkeys grow up to five (5) kilos in four months in this diet. Normally, a male turkey weighs 10 kilos and a female 7 kilos within 18 weeks.
12. They must always be provided with food and clean water. If necessary (which is not often) they are given powdered antibiotic in their food and drink or if necessary, by injection.
13. The turkey chick cannot see up to age one week after hatching, so they are spoonfed until they can eat by themselves. (In the U.S., these are given milk, which is too expensive for us).
14. For every 20-25 female turkeys, only one male is needed. So that egg laying will be continuous, the mother turkey is not allowed to sit on her eggs. These are gathered and hatched in the incubator.
15. Eggs are gathered in April or May, and incubated around July.
16. They are hatched in the first week of August and are raised from 26-28 weeks. (The raisers set these for Thanksgiving Day or Christmas).
17. Turkeys molt (shed feathers) once a year. After molting, they lay more eggs. So, the raisers make them molt in preparation for Christmas. Molting is hastened when food is scarce and day is short. So, the feed of layers is reduced and are kept longer in a dark coop and by releasing them much later in the morning.
18. Turkeys diseases generally, are chicken pox, blackening of the head, birds pest, neck paralysis (cannot swallow”) and external parasite. The blackening of the head is the most serious disease of turkeys. This is acquired from feeds and contaminated water.

Sources: http://www.norbest.com, http://www.agric.nsw.gov.au, http://www.elgu2.ncc.gov.ph

 
 
 maybe this will be of some help to you
 
 
 
 
 

Wednesday, March 09, 2011Print This Page
Pork Commentary: Hasta La Vista - The Other White Meat
US - In this week's Pork Commentary, Jim Long writes about the US market.


Jim Long is President &
CEO of Genesus Genetics.
As long time readers of this commentary know we have thought for a considerable time that the value as an industry we have gotten for our check off dollars (over 1 billion dollars) was being limited by the continued use of the ‘other white meat’ slogan for pork.

The ‘other white meat’ programme has been used for 25 years, in that time pork has lost market share continually in the US domestic market. An advertising programme that is associated with market share loss is a failure, not one to be celebrated. Every time we read when one of the paid economist minions give some lame economic calculation that the ‘Other white meat’ programme had brought 100’s of millions of value it took our blood pressure higher than normal. Loss of market share does not equate to economic returns on an advertising campaign.

From a marketing perspective we could never comprehend why pork which sells for more money than chicken would want to brand itself compared to chicken. Never seen the following:

Mercedes Benz ‘The other Kia’
Saks 5th Avenue ‘The other Walmart’

The point is beef (red meat) sells for double that of chicken (white meat). Pork is red meat. Red meat is a premium product.

The great news in our perspective is the leadership of the National Pork Board has jettisoned “the Other white meat” slogan and replaced it with ‘Pork: Be inspired’. We like to ‘be inspired’. It is positive and a needed change.

The new marketing campaign will use $11 million to roll out in March and April.

National Pork Board officials said, “After nearly 25 years, it was time to move on from the old message that compared pork to chicken and instead try to increase sales by focusing on the estimated 82 million Americans who already eat pork.” (Research shows 28 per cent of Americans eat 70 per cent of at home pork consumption).

For the first time that we can recollect the National Pork Board is going on the offense rather than defense. Ceci Synder, NPB vice-president of marketing, said, “The overall goal is move sales of our product. We want to increase pork sales by 10 per cent by 2014. To do that, we needed to make a stronger connection, a more emotional connection to our product.”

We whole-heartedly support the change in marketing. You never sell anything without targets and goals. Chris Novak, CEO, the board of directors and the pork board staff should be commended for having the wisdom and courage to go beyond the status quo. They have recognized the need to enhance pork demand and are executing a plan. Most importantly it appears the National Pork Board once again is remembering where the money comes from, the producers of America. The producers deserve and should expect return on investment for their check off dollars. Increased sales and demand are the only measure of an advertising campaign’s success. We are inspired!

Markets
Iowa – Southern Minnesota averaged $81.98 lean per pound last Friday about $24 per head higher than a year ago. Although higher year over year with feed prices where they are there is no money being made for farrow to finish producers.


DTN Ag data had a chart last week estimating current US Gross Packer Margins at $30 per head. The three year average for this time of year is $15. Simple math an extra $15 per head 2 million head a week, $30 million more per week for the Packer industry. Time to buy stock in Packers. The good news – the Packing Industry should be financially strong and have money for continued modernization. The bad news – the $15 per head difference could be in producer’s pockets. As we go forward we expect lower seasonal hog numbers (closer to 2 million a week) will have packers chasing hogs that will lower packer margins.


We are still not seeing sow herd expansion. There is lots of discussion but no action that we can ascertain. In our opinion weekly sow marketing’s of around 58,000 indicates a breeding herd that is holding steady. Hog to Corn Ratios hovering around 13 to 1 will never lead to expansion.
Summary
Pork: Be Inspired we believe is a positive step for our industry. Producers currently trading dollars, packers making good money; we don’t see expansion happening. Finally lean hogs are $1.00 for the summer. We expect global pork demand will strongly pull US pork in the coming months.


Author: Jim Long, President & CEO, Genesus Genetics 

Thursday, March 10, 2011Print This Page
CME: Pre-Report Estimates for Latest USDA Reports
US - USDA’s Crop Production and World Supply and Demand Estimates (WASDE) reports will be released today (Thursday) at 8:30 a.m. EST, report Steve Meyer and Len Steiner.


The table below shows analysts’ pre-report estimates for some of the key numbers regarding corn, soybeans and wheat. Note that we pulled the US estimates from Dow Jones’ survey (19 observations for corn and beans, 17 for wheat) and the world estimates for the survey by Reuters (8 observations for wheat and soybeans, 9 for corn).


As expected, none of this month’s estimates are significantly different from those of last month. Analysts apparently expect high prices to have a small impact on corn and soybean usage.

By far the most optimistic number in the table is the one for projected year-end world soybean stocks, which is roughly 1 million metric tonnes higher than last month. That number is driven primarily by an expected increase in the Brazilian soybean crop. A separate Reuters survey indicated that analysts expect the 2011 Brazilian soybean crop to be 69.781 million metric tonnes, 1.281 MMT higher than USDA’s February estimate. The analysts estimate that Argentina’s soybean crop will fall slightly from last month’s 49.5 MMT to 49.198 MMT. Analysts expect Brazil’s corn crop to remain steady at 51 MMT while the Argentine corn crop is expected to be 20.857 MMT, 5 per cent lower than last month’s USDA estimate of 22 MMT.

The trade will now focus on USDA’s March 31 Planting Intentions report to get its first real picture of 2011 US corn, soybean, wheat and cotton output. We again mention cotton because it will be a major player in acreage allocation decisions this year, especially in Southeastern states.

Planted acres may be step one but yields make or break a crop and there is plenty of concern about this year’s potential yields in light of the ongoing La Nina event. Iowa State University climatologist Dr. Elwyn Taylor pegs the “most likely” US corn yield for this year at 148 bu./acre. That is only 1 bu./acre higher than the poor weather yield from Darrel Good and Scott Irwin’s University of Illinois paper that we discussed yesterday. According to Dr Taylor, the ongoing La Nina is the third strongest on record, trailing only those of 1974 and 1989. The 1974 episode strengthened in March of that year and resulted in unfavorable yield conditions that summer. The ‘74 yield was roughly 16 bu./acre below the trend yield. The 1989 event declined in March and dissipated by June. 1989 corn yield was virtually even with the trend yield for that year.

Why is the US beef industry not responding to positive signals and showing signs of expansion? Or even more to the point — why did US cowmen liquidate so many cows last year when cow-calf operations were generally profitable and expectations should have been positive? Those questions have been batted around by a number of analysts over the past year and the first one was the subject of Dr. Derrell Peel’s March 7 “Cow/Calf Corner” published by the Oklahoma Cooperative Extension Service. Peel states that “The market is clearly trying to encourage cow-calf producers to rebuild cow herds. Yet there is no definitive indication that producers are retaining heifers at this time.” He offers two reasons for cowmen’s reticence:

Excitement with current price levels but general skepticism that these prices will last. This feeling that current prices are a short run aberration which will soon be followed by a market correction belies the fact that the supply fundamentals underpinning the current market have been building for several years. He also points out that beef demand, though in his opinion not recovered from recessionary weakness, is moving the in the right direction. Add in strong export markets and he believes there is ample evidence that this is not short run price strength.


Serious concerns that input prices will continue to increase and thus erase the profits gains from higher cattle prices. Peel observes that there is some fatalism in that belief — ie. no mater what a producer does, there is limited (or no) profit potential in cattle. But he points out that high cattle prices provide an opportunity to manage profitability by controlling things that can be controlled. “Agricultural producers have always had more opportunity to influence profitability by managing costs than by changing market prices,” he points out. Rising input prices beget adjustments and cattle are very flexible critters. Cowmen need to think broadly.

A hugh announcement was made this month from Ontario Canada.The Govt. and private sectors will team up and share research on goat production both for dairy and meat.This tells me that someone, somewhere believes goats and their related products are the new wave livestock for the future.Goat milk is much more common now and goat meat,red meat is on the rise worldwide.It is believed there are approx. 800 million heads of goats worldwide.If a country like Canada now believes that goats are a going concern for both domestic and export markets then the Philippines is in prime position to take any/all advantages for her own domestic and export markets for value added products.The west has winters and nothing grows,livestock are fed on diets of dry matter where as in the Philippines there is only the dry period but forage crops can still be produced.Alaminos has showen that a dairy goat industry is not only possible but profitable under tropical conditions with the right forage feeds and management.With the Govt. program under PL 480 and from the private sector better and better genetics are now entering the breeding programs and in time with these island born offspring coming into milking mode and with more testing the Philippines may very well become a model for dairy goat production throughout Asia.Its only a matter of time before someone or some farm  will produce milking goats designed to milk well under a tropical setting.Alaminos seems to be on the right track with their breeding program and many,many more will follow with something they too have bred for the dairy industry.The worldwide demand for goat products are there and a agriculture society like the Philippines has the potential to take advantage of any markets opened up to her.The Chinese market has a void to fill as her masses leaves the countryside for jobs in the cities,people still have to eat and we know with a rising middle class,more money to spend on better quality foods for the table.Goats seem to be the new livestock for the farming sector,require less land,food and water.As long as diseases can be managed,the potential for goats has a bright future.The same holds true for goat meat.Improvements in breeding either purebreeds or cross/hybrids are helping push this side of the industry into new heights.

Tuesday, March 01, 2011Print This Page
Pork Commentary: Growth Rates Best Ever?
CANADA - This week's North American Pork Commentary from Jim Long.


Jim Long is President &
CEO of Genesus Genetics.
US market weights are at unprecedented levels despite corn around $7.00 a bushel. Last week’s Iowa – Minnesota market weights were 273.1 pounds, almost 5 pounds heavier than (268.1 pounds) a year ago. We expect a large amount of the weight difference is the unprecedented average daily gain we have seen the last few months. Case in point.

Last week, we spoke at the annual meeting in the mid – west of a large Genesus Genetic user. At the meeting production data was given for the prior 12 – 14 months. Wean to finish A.D.G. on close – outs have jumped .15 per pound per day since last November.

The only reason gains had jumped so significantly was the improved quality of the corn crop in 2010 compared to 2009. A .15 A.D.G. improvement would be a good ten days quicker to market and/or a heavier market hog. In our opinion the higher quality corn helps explain the 5 pound heavier market hogs we are seeing year over year and we expect hogs are being pulled ahead. Such a rapid growth improvement could lead to U.S.D.A. market inventory. March 1st that is smaller than many will expect.

Global Swine Prices
Market hogs in China are $1.10 U.S. live weight per pound; in South Korea $1.60 U.S. live weight per pound; in Mexico 80 cents U.S. live weight per pound; and Russia $1.10 U.S. live weight per pound. All are major consumers of pork; all major importers of pork. All prices reflect each countries supply – demand. All market hog price points are significantly higher than U.S.A. – Canada market hog prices and lean hog futures. 50% of Global Pork Trade originates in U.S.A. – Canada. We expect strong pork exports in the coming months. Hog prices will benefit greatly from this reality.

Bill Clinton
Former U.S. President Bill Clinton spoke at the U.S.D.A.’s outlook forum last week. Clinton spoke of the need to have food balanced with energy needs re. bio-fuels. “If you produce more bio – fuels and less food will that mean food prices will be even higher and we’ll have more food riots?” Clinton said.

The corn ethanol debate is being engaged. We continue to expect as the year goes forward and food prices react higher due to the price of corn, wheat, etc… the discussion will become more intense. When you have Democratic Champions Clinton, Gore’s now questioning the wisdom of corn ethanol and a Republican Congress last week pulling financial support for corn ethanol expansion. You have to ask where will corn ethanol get its support in the coming months?

Chemical Castration
One of the issues not fully debated in our opinion as a danger to our domestic industry is the potential licensing of the Pfizer product (Improvac) to chemically castrate pigs from injection. In a time where as an industry we are being pressured on antibiotic use and the quest for more organic or natural products. We are having a hard time seeing how a chemical injection could be a positive to increase pork demand. It will be interesting if North American pork packers risk the marketing dilemma to explain this chemical manipulation of the pig consumers, retailers, and restaurants. Another risk of potential use of Pfizer’s chemical castration product could be global restrictions on pork imports as countries reject pork from countries that approve its use as a trade barrier. When North America exports 25% of all its pork a consequence that cannot be tolerated.

Summary
Iowa – Southern Minnesota lean hog prices averaged $81.33 a pound last Friday, while the U.S.D.A. pork cut – outs averaged $92.08 per pound. The packer – farmer spread indicates packers making good money and pork demand is strong. Feed prices continue to increase pushing the cost of production higher. We still see no expansion underway. We expect lean hog prices will remain historically high through the summer 2012 with no significant supply increases and strong domestic and export pork demand.

Announcement
Genesus would like to announce that Stewart Watson has joined our sales team. Stewart lives in Lethbridge Alberta and has extensive experience and expertise in the swine genetics industry. Stewart joins Dave Borsboom in Alberta and together they will support Genesus clients and increase our presence in the Alberta, Montana and Saskatchewan markets.


Author: Jim Long, President & CEO, Genesus Genetics 

Market Preview: Pork Trade Forecast Looks Good
US - This week, in National Hog Farmer's Market Preview, Steve Meyers discusses the trade outlook for pork.


USDA’s quarterly Outlook for US Ag Trade, released last week, contained some very positive information for US pork producers. The quantity of US pork exports is expected to grow by 1.6 per cent in 2011, but USDA predicts the value of those exports to jump by nearly 20 per cent. As I have pointed out before, exporting large volumes is nice, but bringing back even larger amounts of cash pays the bills! Should those two figures come to fruition, 2011 exports will be very close to the 2008 record, and 2011 export values will shatter the existing record, also set in 2008.

The report also contained forecasts (or perhaps a better characterization is “assumptions” for this report) regarding macro-economic variables which are so important when one is dealing with trade issues. The forecasts for US and Canada gross domestic product growth were 1.6 per cent and 1.5 per cent, respectively. Those percentages are a bit conservative relative to some that we have seen. Europe is forecast to grow at roughly the same rate as Japan. Mexico and Korea are both near 3.5 per cent for 2011 growth, while Brazil (+4.0 per cent), India (+5.9 per cent) and China (+8.6 per cent) are, as expected, predicted to be the areas with the most robust growth (Figure 1).


Exchange Rates Bad News for Canada
Figure 1 also includes forecast/assumed changes in exchange rates for 2011, and those are all down for the US dollar. Of particular interest, of course, is the estimate that Canada’s dollar will appreciate by 7.5 per cent vs. the US dollar. That number is larger than any I have seen in other places and would put the Canadian dollar at an average of US$1.05 for the year, meaning that some weeks would almost certainly be above the weekly record of US$1.07 back in November 2007.

That, of course, is not good news for Canadian producers since it means fewer Canadian dollars in revenue. The decline will be large enough to offset most or all of the feed cost advantages currently seen in the prairie provinces.

We hope these forecasts/assumptions are a bit overdone, but the truth is that higher oil prices will put continued pressure on the US dollar relative to Canada’s currency. As the University of Missouri's Dr. Ron Plain points out frequently, there is a lot of oil and gas flowing south from Canada to the United States. As prices rise, more US dollars flow northward and those opposing flows almost guarantee a depreciation of the US dollar and appreciation of the Loonie. Don’t expect this pattern to change materially any time soon with crude oil futures now above $100/barrel. We Yanks still love driving our cars – a lot!

Cold Storage Reflects Larger Inventories
Last week’s Cold Storage report indicated higher inventories of both meat and poultry vs. one year ago (Figure 2). Total meat and poultry in US freezers amounted to 2.054 billion pounds on 31 January. That is 9.6 per cent higher than last year but it is important to note that last year’s inventories were very low on a historical basis. Looking at the top line in Figure 2, which is read off the right-hand vertical axis, one can see that current frozen product inventories are still relatively small from a historical perspective. They are certainly not large enough to be overly concerned about at this time.


Chicken stocks did decline during January, but every product category except thigh meat showed an increase over year-ago levels. Leg quarters, wings and “other” chicken accounted for over 70 per cent of the increase in chicken inventories from last year. The 35-million-pound increase in wing inventories (up 229 per cent from last year!) is truly shocking given the run that this high-quality (written with dripping sarcasm) product has been on. And wing prices reflect the buildup. They were $94/cwt last week vs. $168/cwt one year ago! Maybe they need a new sauce.

Pork inventories were 10 per cent larger than last year and nearly 14 per cent higher than in December. Part of that increase is higher output, but January production was only about 3.4 per cent higher than in 2010 so that is not the complete explanation. Ham stocks accounted for nearly 60 per cent of the year-on-year increase and were up 39 per cent from last year and 49 per cent from December. January’s increase of 65 million pounds for frozen pork stocks was not significantly larger than the normal December-to-January increase of 52.2 million pounds.

In and of itself, the Cold Storage report was not good but not alarming, especially given that beef, pork and chicken production are still larger than one year ago. I expect year-on-year growth to end as we go into this summer and for meat and poultry in cold storage to remain in the lower half of the historical levels.

 



As published in National Hog Farmer's Weekly Preview.

Pig Herd Sees Some Stablility
UK - Latest census figures show the total number of pigs in England has fallen slightly but the breeding herd has remained unchanged.
 

Latest census figures show the total number of pigs in England has fallen slightly but the breeding herd has remained unchanged.

BPEX Senior Analyst James Park said though there now seemed to be some stability in the herd that was only part of the picture.

The total number of pigs in England decreased by 1.7 per cent from 3.6 million in December 2009 to 3.5 million in 2010.

But there was no real change in the number of breeding pigs at 415,000 in December 2010.

An 18,000 head reduction in sows in-pig was offset by a 7,000 head increase in gilts in-pig and an 8,000 increase in other sows.

Mr Park said, "The census results indicate that, year on year, the breeding herd remained stable in December 2010 with a continuation of increased numbers of gilts in-pig and other sows offsetting the decline in the sows in-pig population.

"However, these results do not reflect the consequences for the industry of rocketing feed costs and falling prices since last August."









 

If country has no restrictions when it comes to registering goats back to the ABGA,American Boer Goat Assoc.I guess one would have to be a member first and follow the rules of the organization,would it be worthwhile.I understand there might be a boer register already in the Philippines.Should someone have a boer that is registered to one of the boer registeries in the US,would it make more sense to register the offspring back to a registery in the US or not.I guess the same could be said for dairy goats,would it make more sense to register the offspring back to the ADGA if the owner was a member.I was just wondering what those with paperwork will do with the offsprings that will follow.

I have had an interest in the 3 way rotational cross for a number of years now for meat goats.One needs 3 males from different breeds.I am not sure if anyone has bred a native buck to lets say a dairy breed and then bred the offspring females to another buck of a different breed and then bred those offspring females to the 3rd buck breed.A bo-ang is really a crossbreed,not sure if one could call this a breed but I think a bo-ang instead of a native buck might prove interesting.The 3 bucks are known as P1,P2 and P3.P1 could be a nubian and P2 could be a bo-ang and P3 would be a boer.The end result is still cross/hybrids but with more hybrid vigor.

I guess it would be safe to say,the 3 way cross in the Philippines would really be a 2 way rotational cross,only 2 bucks of different breeds are used to produce a meat goat.I am sure as time goes on,there will be different combinations of breeding to produce a new meat breed with better hybrid vigor over the purebreeds,hardy with good growth and good mothering ability.

Thursday, February 17, 2011
Pork Commentary: Where is the High?
CANADA - This week's North American Pork Commentary from Jim Long.


Jim Long is President &
CEO of Genesus Genetics.
Last Friday the lean future months of May, June, July and August closed over $1.00 lean a lb. Where is the high? At $1.00 plus lean it’s $200 plus per head for four months.

Unfortunately, corn closed over $7.00 a bushel on Friday, price of hogs are high but the price of corn and feed is taking away our possibility of great profits. The big winners the hog farmer feeding their own corn feed. $7.00 corn plus hog profits it’s as good as it gets. We estimate that no more than 20-25 per cent of all hogs are raised by producers with their own feed. If they own their land even better as $7.00 bushel corn is driving land values higher. The old model that built many of a family farms wealth is alive and well.

Pork Exports Rocket Higher
Hog prices have been pushed by strong US pork exports with December at 146,483 metric tonnes in the preliminary data. That’s the highest monthly total since June of 2008. Mexico was the largest importing country at 40,692 metric tonnes, followed by Japan 37,941; South Korea jumped to 9,623 tonnes from 3,122 in September. We expect to see further gains to South Korea in the coming months as the foot and mouth ravages their domestic pork supply.


Last week hog prices in South Korea were 4400 per kilogram or about $470 US for a 270 lb hog. You would think hogs being bought for $300 per head less in the US would lead to excellent opportunities to have some pork sent there?


Other Asian markets of note; Philippines $300 US for 270 lb hog, Viet Nam $230 US for 270 lb hog. Thailand $260. Appears to us the best option for Koreans to get Pork is USA-Canada.
Other Observations
We continue to see no sow herd expansion. As we have written before being in the swine genetics business leads us to look for new or existing units that are buying breeding stock. Unless we are real lame we are not seeing many opportunities to do either. On the flip side there are strong replacement sales as many producers are replacing older sows and or upgrading their genetics. To put in context Genesus breeding stock sales were 63 per cent higher in 2010 than 2009 but we did not see herd expansion. Genesus booked breeding stock sales for the first half of 2011 reflect and sales increase of 45 per cent on top of last year’s 63 per cent, but still none into empty units in USA – Canada. What we are observing is many producers who have survived the low markets recognizing to stay competitive they must upgrade their technologies did this includes better genetics. The same old is not satisfactory for many forward thinking producers, but still good sow units sit empty.


The feed did corn market is scaring the crap of many producers. All ask “How high can this go?” We have no idea. We do expect though $7.00 corn will lead to every acre available planted everywhere not only in North America but the whole Northern Hemisphere. $7.00 corn will lead to increased fertilizer use (reports we read say fertilizer sales up). Maximum herbicide and insecticide use. The old surest cure to “high prices is high prices will probably play out” We all know farmers will overproduce given a chance.


Last year the drought in Russia was the trigger that helped push grains higher. Currently in Russia a new sow unit which Genesus is stocking has major construction delays because of the mud caused by high precipitation.


We had an interesting email from a President of an Ethanol company explaining we were foolish for not seeing the benefits of corn ethanol. Obviously their person is underemployed if he has time to write a 500 word Magna Carta on the benefits of corn ethanol to us. We guess what we are saying is hitting home. Corn Ethanol will go down in history as one of the most insane government policies ever created. The concept that burning our food to fuel cars is beyond comprehension. Now the mass media is picking up the doubling of corn prices, the major move in meat prices, and appreciation of land prices. Then we move to geopolitical events; food riots government regime change, the moral dilemma of pricing food beyond the means of many third world people to fuel SUV’s. We expect events could move fast on Corn Ethanol, as west coast –east coast people realize their disposable dollars are being eaten up by government subsidized corn ethanol things can change rapidly. The east-west coast congress now far outnumbers any ethanol backing numbers. Corn ethanol could very well become the scapegoat for many economic problems. We would not be surprised if legislation is not adopted in the next two years that will make corn ethanol a very unattractive business venture.
Summary
Lean Hog Prices continue to push higher. The summer month’s futures are all over $1.00 lean which would lead to market hogs over $200 a head. Global price points for hogs are all higher than USA – Canada. With 50 per cent of the worlds pork exports USA – Canada is poised for strong exports in 2011. Fact is the preliminary USA December Pork Exports were the highest since June 2008. We called $1.00 lean six months ago when future lean hogs were .80 we were bullish hog prices. We did not see increased hog supply and our global wanderings told us world demand would pull exports. You see nothing happening in either supply or demand not to remain price bullish well into 2012.


Author: Jim Long, President & CEO, Genesus Genetics 

The topic of forage feeds is an ongoing subject.Once the meat goat producers get a better handle of which forages will have a positive effect on our goats, this will go along ways to help the meat producers lower our overhead when it comes to feed costs.With the rising lndex,concentrates will become even more expensive as time goes by.This is not good news for those of us who depend on concentrates to keep our stock healthy.I hope in time,some more studies will be done which will allow us producers to have the understanding on which plants will help us the most.The size of the bag might be important if using the vacuum cleaner to pull the air out before sealing the bag shut.In the near future,looks like more expences for feed and less profits for the producers.