PIG PRODUCTION
Why pigs?
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For the gals-they don’t turn into men when they get
drunk
For the fellas-they have at least 6 pairs of mammary
glands
They don’t kick or scratch
Many opportunities for the “style” of employment
The pay is pretty good
Pigs are the major red meat consumed world-wide
(43%)
Diversification-welfare, economics, nutrition,
engineering, public health
Career opportunities-they will take you around the
world!
Why not pigs?
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They smell and bite
You may not feel confident at graduation
You may want to live in the city
You may like one-on-one consulting
You may like surgery
The Australian industry has its ups and downs
You will have to become a strong welfare advocate
You may have to travel a lot
What will you need to know to survive
in the pig industry?
Problem-solve:
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high pork production costs (cents/kg
carcass weight).
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poor reproductive performance (pigs
weaned/sow/year).
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poor growth performance (growth rate,
mortality, feed efficiency).
What happens on the pig farm?
Herd profitability
Volume
Cost of production
(Kg meat)
(c/kg)
Growing herd
efficiency
health
Breeding herd
efficiency
nutrition management genetics
environment
The structure of the Australian pig
industry
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26th in the world
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364Kt Carcass Weight vs China 41,600Kt
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55kg in 1980 … 75kg in 2006
Average slaughter weight increasing
Import mainly from USA, Canada and
Denmark
Export to Japan, Singapore and NZ
We eat 18.8kg pig meat per head
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Ranked 23rd in the world
Vs 77kg in Denmark
Per capita consumption of pork-selected countriescalender year 2000 (from PigStats, 2002)
The Aussie Pig Industry
Percentage of sows by state
12%
1%
28%
15%
22%
22%
NSW
Qld
Vic
SA
WA
Tas
The Aussie pig industry
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Number of pig producers is decreasing
49,537 in ’60……2,914 in ’01
Average herd size is increasing
2000
1997
1991
1988
1985
1994
Year
1982
1979
1976
1973
140
120
100
80
60
40
20
0
1970
Average herd size
Average herd size is increasing
(’79=16 sows…’99=101 sows)
Fate of Pig meat in Australia
10/10/04
Pig meat consumed in Australia.
Includes imported pork which makes up 70% of processed
pork
Fresh pork
(40%)
Butchers
(22%)
Supermarkets
(60%)
Other fresh (18%)
Processed pork
(60%)
Ham
(35%)
Bacon
Other
Pork
(40%)
(25%)
Overseas markets & how they
impact us
Recent challenges for the Australian
industry
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Low prices
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High Aussie dollar hindering exports
Price competition from imports
High feed grain prices (drought)
We import pig meat from:
What type of meat is imported?
We export pig meat to:
We export pig meat as:
How production efficiency and volume
are measured in pig herds and what
impacts on these parameters
The production system
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Breeding - about 1 week after weaning
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Gestation - about 16 weeks
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Natural mating +/- AI
Stalls, pens
Farrowing / lactation – 3 to 5 weeks
Weaner - 3-10 weeks
Grower/finisher - 10-25 weeks
Keys to success:
Contain costs
Meet mating targets
Fill sheds
Sell at heavy weights
Use feed efficiently (no wastage)
Optimise health and genetics
Costs of Production - examples
Average ($/kg Carcass WT)
Feed
Labour (paid)
Other costs
Total operating costs
Capital costs
Owners labour
Total costs
1.20
0.18
0.21
1.59
0.20
0.21
2.00
Range: $1.30 > $2.35/kg carcass weight
Components of cost of production
80
70
60
2001
40
2002
30
20
10
Fe
ed
La %
bo
ur
O
%
ve
rh
ea
d%
H
er
d%
S
he
d%
%
0
H
ea
lth
%
50
What determines prices?
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Seasonal
Imports
Export demand (25% pork exported)
Profit is driven by the cost of feed and
pig meat price
Breeding herd
Pigs weaned per
sow per year
Pigs
weaned/litter
Litters/sow/
yr
Growing herd
Kg meat sold/m2
floor space
No. pigs/m2
floor space
Physical herd performance
Kg/pig
Physical performance-efficiency targets:
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Litters/sow/year: 2.27
Born alive per litter: 11
Herd liveweight feed conversion efficiency
3:1
Growth rate: 600g/d
Deaths (10% piglets, 2% weaners, 1%
growers)
Physical performance-actuals
Breeding herd
Parameter
Farrowing rate
Total Born
PBA
Stillborn %
Mean
80
11
10
8
9
Range
61-90
10-13
9.5-11.5
4.311.6
7.4-10.3
Target
>80%
>11.5
>10.5
<8
%
>9.5
Pigs
weaned/litter
Preweaning
mortality%
Pigs weaned
/sow/yr
13
6.2-31
<1.5
18.4
15-23.9
>20
Physical performance
Breeding herd
Parameter
Weaning age
Litters per sow
st
Weaning 1 Service
Sow death rate %
Culling rate %
Mean
21
2.14
8
9.6
62
Range
14- 29
1.8- 2.43
5- 10.2
1.5 -18
26 - 88
Housing types
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Indoors
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Outdoors
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Improved feed efficiency
Reduced labour costs
Lower capital costs
Perceived as welfare friendly
In-between
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bedded systems / ecoshelters
Buildings:
Conventional
shed
Straw based
“ecoshelter”
Capital cost high
Capital cost low
Operating cost
low
Operating cost high
Intensive farming
Bedded systems
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Especially for progeny (weaners)
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Estimates 30% in Australia
Some breeding herds
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Chiefly in response to welfare
Bedded systems (cont.)
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Cost one half/third of traditional sheds
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No internal penning
Perceived as welfare-friendly
Helps in the transition to multi-site, AIAO,
Split-sex feeding, phase feeding
On-going costs higher (bedding + labour)
Higher feed intakes and increase in backfat
Systems of raising pigs
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Family farms
Corporate farms
Contracting – breeder and grower
contracting
Contracting
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Shares production & financial risks
Contractor provides land, sheds, labour
Company provides pigs, feed, transport,
medication, technical advice, assists in
permits etc
Allows for expansion with minimal capital
Stable income for farmer (returns are not
market-driven)