Higher feed prices add 10p to production costs

by 5m Editor
5 July 2007, at 11:25am

UK - The red line on the European Commission chart plots the price of compound feed for pigs in the European Union.

The price has now reached 1966 levels, when arable farmers experienced a cereal price bonanza (before the price plunge in the latter half of the decade that was to put many of them out of business).

Pig producer John Godfrey has confirmed today that rising feed costs have added 10p a kilo to cost of pig production.

This is an accurate fugure. Grain from the Godfrey farms is paid for by the company feed mill at the market price prevailing on the day it takes the grain from the farms.

The blue bars on the chart below shows how higher feed prices are eating away at producers' margins this year.

5m Editor