Canadian Hog Statistics Second Quarter 2008
By Statistics Canada. Compared to one year ago, there are 11.6 per cent fewer hogs on farm, and the number of pig producers is down 19 per cent.
22 August 2008
3 minute read
Highlights
- Hog inventories have declined to levels not seen since 2000 as soft slaughter prices and high feed costs continued to be prevalent in the hog industry.
- Farmers reported 13.0 million hogs on their farms as of 1 July 2008, down 11.6 per cent from one year ago.
- There are 19 per cent fewer hog producers in the country compared to a year ago.
- Canadian hog exports declined in the second quarter of 2008 to an estimated 2.2 million hogs, which marks the first quarterly decrease in more than a year.
Hog Inventories
Hog inventories have declined to levels not seen since 2000 and one in five farmers have left the industry as soft slaughter prices and high feed costs continued to be prevalent in the hog industry.
As the hog industry continued its transition, farmers reported 13.0 million hogs on their farms as of 1 July 2008, down 11.6 per cent from one year ago.
Escalating feed costs along with hog prices 38 per cent below the 2005 average, has resulted in the number of hogs down about 15 per cent from its peak in July 2005. With low profit margins, farmers are leaving the industry. There are 19 per cent fewer hog producers in the country compared to a year ago, led by Saskatchewan (down 30 per cent) and Alberta (down 24 per cent).
The financial pressure on hog producers can be highlighted using a calculation that divides the hog price by feed cost. The higher the ratio, the better the situation is for hog producers. By April 2008, the Ontario hog-corn ratio was 9.1, well down from 29.2 in 2005. This means that with the market return for every 100 pounds of pork, hogs producers can only buy 9.1 bushels of corn compared with 29.2 bushels in 2005. The hog-barley ratio in Alberta showed a similar decline.
Domestic slaughter of hogs in Canada was up 1.4 per cent compared to last year as some slaughter plants increased capacity by adding a second shift.
Canadian hog exports declined in the second quarter of 2008 to an estimated 2.2 million hogs, which marks the first quarterly decrease in more than a year.
|
Table 1: Livestock inventories at July 1
|
||
|
Hogs
|
||
|---|---|---|
|
thousands of head
|
||
| 2007 | 2008 | |
| Canada | 14,690 | 12,985 |
| Atlantic | 299 | 181 |
| Quebec | 4,120 | 4,000 |
| Ontario | 3,887 | 3,239 |
| Manitoba | 2,965 | 2,725 |
| Saskatchewan | 1,320 | 1,070 |
| Alberta | 1,970 | 1,650 |
| British Columbia | 129 | 120 |
| Note(s): Figures may not add up to totals because of rounding. | ||
Further Reading
 |
- | You can view the full report by clicking here. |
August 2008
