# Swine Budget Shows Loss of $30 per Pig

CANADA - The June 2008 budget figures compiled by John Bancroft, Swine Strategies Program Lead at the Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA) show average income of C$138 per pig and costs of over C$169.

The OMAFRA budget was calculated based on the estimated accumulated cost for a market hog sold in June 2008. The farrow-to-wean phase estimates the weaned pig costs for January 2008, the nursery phase estimates the feeder pig cost for March 2008 and the grow/finish period subsequently. All costs and income figures are in Canadian dollars.

Total costs for the farrow-to-wean, nursery and grow-finish phases were C$35.90, C$24.90 and C$103.82, respectively, making a total of CC$169.23.

Feed costs accounted for CC$12.05, CC$13.77 and CC$78.16 for each phase, respectively. At C$105.79 in total, feed constituted 62.5% of total costs.

Total variable cost per pig was C$148.17, while fixed costs (depreciation, interest, tax and insurances) came to C$21.06.

The income for a market pig weighing 92.03kg was C$139.44, while total costs were C$169.23, making a net loss per pig of C$29.79.

Costs per phase of production
| Farrow to Wean | Nursery | Grow-Finish | Farrow to Finish |
---|---|---|---|---|

Income (C$/pig) |
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Market Pig @ C$138.54/ckg, 109.37 index, 92.03 kg |
C$139.44 |
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Variable Costs (C$/pig) |
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Breeding Herd Feed @ 1,100 kg/sow |
C$12.05 | C$13.20 | ||

Nursery Feed @ 32.6 kg/pig |
C$13.77 | C$14.43 | ||

Grower-Finisher Feed @251 kg/pig |
C$78.16 | C$78.16 | ||

Net Replacement Cost for Gilts |
C$2.75 | C$3.01 | ||

Health |
C$1.96 | C$3.16 | C$2.25 | C$7.70 |

Breeding (A.I. & Supplies) |
C$1.41 | C$1.54 | ||

Marketing |
C$3.56 | C$3.56 | ||

Utilities (Hydro, Gas) |
C$1.96 | C$1.18 | C$1.64 | C$5.02 |

Miscellaneous |
C$0.45 | C$0.15 | C$0.35 | C$1.00 |

Manure Disposal |
C$0.83 | C$0.33 | C$1.13 | C$2.39 |

Repairs & Maintenance |
C$0.70 | C$0.38 | C$1.13 | C$2.29 |

Labour |
C$6.96 | C$1.96 | C$4.00 | C$13.67 |

Operating Loan Interest |
C$0.44 | C$0.51 | C$1.17 | C$2.18 |

Total Variable Costs |
C$29.50 |
C$21.44 |
C$93.39 |
C$148.17 |

Fixed Costs (C$/pig) |
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Depreciation |
C$3.48 | C$1.88 | C$5.67 | C$11.44 |

Interest |
C$2.23 | C$1.20 | C$3.63 | C$7.32 |

Taxes & Insurance |
C$0.70 | C$0.38 | C$1.13 | C$2.29 |

Total Fixed Costs |
C$6.40 |
C$3.46 |
C$10.43 |
C$21.06 |

Summary of Costs (C$/pig) |
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Feed |
C$12.05 | C$13.77 | C$78.16 | C$105.79 |

Other Variable |
C$17.45 | C$7.67 | C$15.23 | C$42.38 |

Fixed |
C$6.40 | C$3.46 | C$10.43 | C$21.06 |

Total Variable & Fixed Costs |
C$35.90 |
C$24.90 |
C$103.82 |
C$169.23 |

Summary |
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Net Return Farrow to Finish (C$/pig) |
-C$29.79 |
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Farrow to Weaned Pig Cost (C$/pig) |
C$35.90 | |||

Farrow to Feeder Pig Costs (C$/pig) |
C$62.43 | |||

Wean to Finish Costs (C$/pig) |
C$129.91 | |||

Farrow to Finish Breakeven Price (C$/ckg, 100 index) |
C$168.13 |