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Shift to specialized pig production units continues
US - Commentary on March 30, 2007 USDA Hogs and Pigs Report by Dr Mike Brumm, Brumm Swine Consultancy, Inc.
Mike Brumm
Friday’s USDA Hogs and Pigs report documented the relatively steady inventory status of the US swine industry. It also documented the on-going underlying structural changes in the industry.
The shift to specialized production units continues, with on-going statewide shifts.
For example, Iowa and Minnesota are the leading states for importing of feeder pigs as evidenced by the disparity between the breeding herd and kept for finishing inventory expressed as a percentage of the US inventory. These imported pigs come from Canada, Nebraska, Missouri, Oklahoma, North Carolina and lately, Illinois.
In the past 3 years, Illinois farrowed more pigs than were finished in the state, with the excess pigs exported out-of-state, most often to Iowa and Minnesota. The shift towards more farrowing than finishing in Illinois is somewhat surprising given the state is the number 2 state in the US for corn and soybean production. The lack of a significant cattle, dairy or poultry industry in Illinois relative to feed grain production suggests that Illinois grain farms rely heavily on exports from Illinois or industrial usage of the feed grains for their market opportunities.
The demand for quality pigs to fill nurseries, finishers and wean-finish facilities in Iowa and Minnesota continues as evidenced by the record setting imports of Canadian feeder pigs. In 2006, US producers imported just under 5.9 million feeder pigs from our neighbor to the north. Imports to date this year are running ahead of last year’s record pace.
View the full commentary here (pdf) including the numerous graphs and tables.
View the March 1 USDA Pig and Hogs Report here (pdf)
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