US Pig Farmers Upbeat on Future of Industry Despite PEDV

US - US pig farmers find optimism even though concerns over hog health and disease rank as a top concern, according to the results of a survey released this week at the National Pork Industry Forum in Kansas City, Mo.
calendar icon 7 March 2014
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The survey, fielded late in 2013, found 30 per cent of producers said hog health and disease was the single biggest challenge they faced. This result is not surprising given Porcine Epidemic Diarrhoea Virus (PEDV) continues to impact farms across the country.

"In a year that brought significant herd losses due to PEDV, the survey underscores that the issue is still top of mind for many producers," said Karen Richter, National Pork Board president and a producer from Montgomery, Minnesota. "But with this concern comes opportunity for the Pork Checkoff, with 27 per cent of producers also saying that the Checkoff was best positioned to fund additional research into PEDV."

At 27 per cent, providing PEDV research ranked first from a defined list of choices when asked "How can the Checkoff help you in 2014?" However, that direction changes slightly when those surveyed were asked to fill-in their own blank.

When asked the open-ended question of 'What is the single most important thing the Pork Checkoff can do to help your operation be more successful?', six of 12 answers related to marketing pork. Advertising and promoting pork ranked No. 1 at 23 per cent, followed by educating consumers about the safety of pork at 12 per cent. Additional marketing-related concerns included improving export and international trade potential, increasing demand, opening more markets to pork and improving the sale price of hogs.

The challenging events of the past year also may have served to unite the industry in a focused direction. According to the survey results, three of every four producers surveyed (75 per cent of the 550 respondents) reported that the pork industry is on the "right track." Not only is that result the highest in survey history, but is up 16 points from the 2012 result of 59 per cent.

"This is a very strong result," said Richter. "Producers are satisfied, and whether you run a small, family farm or are part of a larger organization, there is a sense of optimism - especially among producers age 18 to 54. That says a lot about the future of our industry."

Of the 13 per cent of producers that said the industry was headed in the wrong direction, the most commonly reported reason was related to competition, too much regulation, the inability to turn a profit and disease problems. Only six per cent of those surveyed blamed their lack of optimism on "disease."

Image of Pork Industry Improving

Another indicator that things are looking up is that, in general, those pig farmers surveyed believe that the consumers' image of their work has improved, up six percentage points from last year. A total of 56 per cent of producers surveyed said that consumer image is positive, with only 21 per cent saying the image is negative.

At 56 per cent, this positive perception among producers is the second highest in each of the last five years of the survey, and up from 50 per cent in 2012. Likewise, producers feel that negative impressions have decreased - from 24 per cent in 2012 to 21 per cent in 2013 - a positive change of three percentage points.

Record-high Approval of Pork Checkoff

A final indicator of producer optimism is support of the Pork Checkoff. According to the 2013 survey, 87 per cent of producers, the highest level on record, said that they support the Checkoff, with only six per cent in opposition. The remaining producers either were neutral in their support or did not know how to respond.

"In my opinion, this is a vote of confidence in the steps we take every day to promote pork and provide valuable research to our producers," said Chris Novak, chief executive officer of the National Pork Board.

"The difference of 81 points separating support from opposition is the highest in the survey's 12-year history. It is to a point that it will be difficult to improve upon this score, but we'll continue to work hard to earn the trust and confidence of all producers."

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