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ThePigSite Newsletter - 8 May 2012

ThePigSite Weekly Newsletter
Tuesday 8th May 2012
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Welcome to this week's newsletter

Editorial – Focus on the BRICs

This week, we turn our attention to the leading so–called BRIC countries – Brazil, Russia, India and China – whose economies are emerging and increasingly driving global growth.

The term ‘Bric’ was coined in 2001 by Goldman Sachs economist, Jim O'Neill, to group together the four fast-rising economies. Since recovering more quickly from the global crisis in 2008, their economic strength has been matched by their growing political influence.

Pork exports from Brazil in 2011 at 516,419 tonnes were a shade below the total for 2010 of 540,417 tonnes but total receipts increased by seven per cent in US-dollar terms to US$1,435 million.

For the first quarter of this year, Brazil’s pork exports were 4.7 per cent above the same period of 2011 at 123,732 tons. The value of those exports was up almost 1.4 per cent at over US$315 million.

One of the country’s top companies, Brasil Foods (BRF), announced its first quarter results last week, which included a 5.3 per cent increase in revenue and net income of 153 million reals (BRR). While some key export markets were challenging, domestic sales were up 11 per cent.

BRF also announced in the last week that is has entered into a three–year US$500–million revolver credit facility.

There may be a cloud on the horizon to hold back the growth of Brazil’s pork industry. In Brazil over the last week, it has been reported that severe weather and crop failures in the south of the country and increased consumption demand are driving up corn (maize) and soybean meal prices in Brazil, according to Informa Economics FNP.

Turning to the second ‘Bric’, it appears that Russia's pig producers are in for a hard time. The Russian government is planning to invest the equivalent of around £3 billion in production and processing to achieve its pig production target of 4.53 million tonnes liveweight by 2020. Domestic pig keepers and meat processors, however, will face serious problems as the country enters the World Trade Organization (WTO) as import duty on pig meat will be cancelled and on live pigs, it will decrease from 40 per cent to five per cent. According to forecasts, this may lead to an increase of the share of imported pork on the Russian market from 30 per cent to 45 per cent.

The country has also been affected by many outbreaks of swine fever – of the classical and and African varieties – in the wild and domestic pig populations lately but there have been no reports of new outbreaks in the last week or so.

No reports on the (relatively small) pig industry in India have been received in the last week.

From China, in an annual letter to shareholders, the Chairman and CEO of Zhongpin has described 2011 as an exceptional year for the company, with sales revenues up 54 per cent to US$1.45 billion. Investments added more than 200,000 metric tons of annual capacity for pork and pork products.

Xianfu Zhu commented: “We are not just one of China’s top pork producers – we have a unique branded retail concept that includes our own showcase stores and branded stores, as well as dedicated Zhongpin counters in supermarkets. At the end of last year, our distribution network covered 20 provinces and 3,428 retail outlets. The bigger our national footprint becomes, the more we are investing to bring Chinese consumers a range of choices to meet their amazing diversity of tastes. Last year, we launched 79 new pork products, bringing our current total products to over 410, and today we have about 90 new products under development.”

He added that China’s pork market is the largest in the world, accounting for nearly 50 per cent of global production and consumption in 2011, or 49.5 million metric tons. China's hog sector is 4.6 times the size of the United States.

To give you an idea of the scope and scale of changes underway in the industry, he highlighted that the Chinese government aims to reduce the number of hog slaughtering facilities from over 20,000 to around 3,000 by 2015 to encourage large producers with hygienic facilities. Modern hog operations currently represent 30 per cent of production.

Xianfu Zhu added that the Chinese industry is in the throes of modernisation and industry consolidation.

Jackie Linden

* This Week's Feature Articles

We have 7 new features this week:

Things You Need to Know about Manure Gas
Educate yourself and your employees on the different manure gases and their properties to avoid a tragedy, extols Robert Chambers, Engineer Swine and Sheep Housing and Equipment in the latest Pork News & Views newsletter from the Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA).
Effective Heat Detection
Accurate heat detection is essential for the correct timing of insemination, however, heat is often missed or misdiagnosed because the signs are overlooked, according to BPEX Action for Productivity No. 29.
Genetic Variation of an Odourant Receptor and Sensory Perception of Cooked Meat Containing Androstenone
Researchers in Norway have found that people with a particular variant of the OR7D4 odour receptor are sensitive to meat containing androstenone. It is this steroid that is largely responsible for boar taint, which is associated with negative reaction by some consumers to meat from male pigs.
Comparison of Computed Tomographic and Radiographic Findings during Experimental Actinobacillus pleuropneumoniae Challenge
High–quality computed tomographic (CT) examination was superior to radiography in the assessment of lung lesions after Actinobacillus pleuropneumoniae (App) challenge, according to researchers in Germany. A new CT scoring system allowed quantification of lung alterations in live pigs but did not shed light on the aetiology of respiratory disease.
Effect of Progenos Supplementation on Embryonic and Placental Development
University of Alberta researchers report beneficial effects of Progenos (l–arginine) supplementation during pregnancy on early embryonic development and placental vascularisation while also investigation gene expression associated with these characteristics in sows during early gestation.
How about Some Gelatin in Boar Semen?
A review of studies evaluating the inclusion of gelatin in extenders for fresh semen by Ronald O. Bates, State Swine Specialist at Michigan State University in the latest issue of the University’s Pork Quarterly.
Unusually Warm Spring May Cause Stored Grain Problems
The warm spring temperatures following a warm winter may lead to stored grain problems, particularly for grain that exceeds the recommended storage moisture content or did not stay cool during the winter, writes Calli Thorne, North Dakota State University Extension Agent.
Pfizer Animal Health - Draxxin
* Market Reports

 » AHDB European Market Survey - 27 April 2012
 » AHDB UK Market Survey - 27th April 2012
 » Canadian Hog Statistics - First Quarter 2012
 » Irish CSO Livestock Slaughterings March 2012
 » BPEX UK Pig Meat Market Update - May 2012
 » BPEX Weekly Export Bulletin - Week 18
 » AHDB European Market Survey - 4 May 2012
 » AHDB UK Market Survey - 4 May 2012

* Company News

Single Source Swine Solutions at World Pork Expo
US - Osborne Industries has announced the release of its new "Single Source Swine Solution" packages for new and existing swine farms: a complete line of swine management products, equipment and services for the global marketplace.
Pfizer Honours High Standards of Pork Caregivers
US - Pfizer Animal Health is pleased to recognise five pork care–givers who consistently display high standards of pig care to help ensure the health and safety of America’s pork supply.
Survey Reveals Global Prevalence of Mycotoxins
GLOBAL - Biomin has published the results of its Mycotoxin Survey Program for 2011. The comprehensive survey documents the occurrence of mycotoxins in samples taken throughout 2011 in different regions. One thing is clear: the global prevalence of mycotoxins in a range of common feed commodities underscores the need for quality feed management strategies.
Sow Parity Impacts Profits
UK - With cull sow prices currently good, now is an ideal time for pig producers to review the sow parity distribution in their herds, says Paul Thompson, veterinary consultant to pig-breeding company, ACMC.
Pfizer’s New PRRS Vaccine Now in Canada
CANADA - FosteraTM PRRS vaccine is now registered for use in Canada by Pfizer Animal Health as an aid in preventing disease associated with Porcine Reproductive and Respiratory Syndrome Virus (PRRSV), Respiratory Form, a disease that costs Canada’s pork industry an estimated C$130 million annually.
New KT Manager for BPEX
UK - A new BPEX Knowledge Transfer Manager has been appointed to cover the East of England following the departure of Colin Stone.
Website Connects Feed Buyers and Sellers
US - Feed manufacturers and livestock producers have a new tool to save time and reduce costs when buying bulk feed ingredients. A newly launched website,, is designed to connect buyers and sellers of bulk feed ingredients quickly and easily.
TOPIGS South Africa, US Introduce New Feed Advice
SOUTH AFRICA and US - In the first week of March, TOPIGS South Africa organised a very successful TOPIGS SA Pig Producers Event.
Biomin Exhibited at TECHAGRO 2012
CZECH REPUBLIC - From 31 March – 4 April BIOMIN Czech exhibited at the International Fair of Agricultural Technology called TECHAGRO.
Recovering Japanese Imports TOPIGS Genetics
JAPAN - The Japanese economy is starting to recover after the earthquake and tsunami that hit Japan on 11 March 2011. The bigger Japanese pig producers are making further investments in genetics.
Ceva Gathers Experts for Swine Reproduction Symposium
GERMANY - True to its vision to bring together scientific, veterinary and production experts, Ceva Santé Animale, one of the fastest growing global veterinary health companies, organized a symposium to address the subject: Managing sow reproduction to maximize the outcome of pig producers.
Japfa Hypor Genetics Company a Fact
VIET NAM - The joint venture agreement announced in November 2011 between Viet Nam’s leading animal feed producer Japfa Comfeed Long An Ltd (Japfa) and global swine genetics company Hypor B.V. (Hypor) has been finalized on 25 April 2012. The Japfa Hypor Genetics Company has been founded and a 700 sow high health pig breeding unit will be established in Viet Nam.
* Global Pig Industry News

   United Kingdom

 » International Conference Focuses on ‘Greening’ CAP
 » CAP Reform Must Work for Tenanted Sector
 » Premier Nutrition Signs Agreement with South Korea
 » Key EU Fish and Farming Talks
 » Record Farm Output Levels Spur Solid Performance
 » Maintaining Welfare Standards in a Food Hungry World
 » Pig and Poultry Fair Flies the Flag
 » Weather Not Helping with Pig Meat Demand
 » Call to Curb Slaughter Without Prior Stunning

Genepacker 90 Gilt from JSR Genetics
   United States

 » CME: Crop Plantings, Restaurant Performance Up
 » Praise for Domino’s Rejection of HSUS Proposal
 » Invention Spotlight: PRRS Vaccine
 » New Measures Protect Consumers from Illness
 » Weekly Roberts Market Report
 » CME: Awaiting WASDE Estimates, Critical to Sector
 » USDA’s WASDE Report to Incorporate Changes
 » Gestation Sow Housing Webinar Series on Welfare
 » Hog Prices End Lower than a Week Ago
 » Maize Yield has Significant Impact on Profitability
 » Corn Prices in Three Parts
 » Eating Meat is Ethical, Says Grandin
 » Healthy Animals Make Confident Consumers: Report
 » Safeway: Progress towards Gestation Stall-Free Pork
 » Tyson Sales on the Rise
 » CME: Corn Market Remains Fluid


 » Piglets on Display at Campbell Farm, Discovery Centre
 » Canada-EU Trade Agreement to Boost GDP
 » Maple Leaf Results Hit by Bakery Sector Problems
 » Canada-Japan Partnership to Increase Pork Exports
 » Canadian Pork Producers Fight for Open Border
 » Improved Response to New Swine Disease Threats
 » Swine Health Board Issues Health Awareness Bulletin
 » Canadian Pork Council Addressing Animal Care

Novartis Animal Health

 » Bank Cuts Rates: Will Farmers See the Benefits?

   European Union

 » Ag Council Urged to Act to Avoid Market Distortion
 » EU Pig Prices: Prices Occur Only on the Spot
 » Farmers Fear EU Law Could Harm Pork Industry


 » Siquijor Gains Agriculture, Fishery Projects
 » Hog, Poultry Raisers Mull Holiday over Smuggling


 » Reducing GHG Emissions in Agriculture


 » BRF Arranges Credit Facility
 » Brasil Foods Sees Strong Domestic Sales Growth
 » Brazil's Soybean, Corn Feed Prices Head Higher


 » Government to Ensure Agricultural Food Safety
 » Promotion Aimed at Driving Down Pork Prices

Biomin - the natural way

 » CPF Now No.1 Asian Agribusiness Conglomerate


 » Pork Commentary: N American Market Languishes
 » Pork Commentary: Swine Canada Inventory Report
 » Chinese Discuss Research at Roslin Institute
 » Genomic Research Unravels Livestock Origins
 » Increasing Production Means Market Competition


 » Zhongpin Chairman Calls 2011 ‘Exceptional Year’

   Korea, South

 » Seoul to Limit Fallout of China FTA on Farm Sector

   Viet Nam

 » Viet Nam Hog Markets

   New Zealand

 » NZPork Considering High Court Judgment
 » New Import Standards for Pork in Force
 » Officials Want Better Checks on Pig Swill

   Russian Federation

 » Hard Times Ahead for Russian Pig Keepers

That's all for this week!

Events / Promotions
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