Paul Anderson, Director South-East Asia Market, Genesus Inc.
Pig prices in Thailand edged higher in the second week of January 2018 to THB 45-50/kg (USD 1.36 â€“ 1.52) live.
It was THB 30-35/kg (USD 0.9 â€“ 1. in December 2017. The price raise signals that an oversupply of live pigs is being fixed. It is estimated that the price would surpass the cost of production (about THB50/kg) in the second or third quarter of the year.
The price crisis in Thailand has brought some changes to the pig industry in the country. Firstly, many producers are stepping into selling portioned pork directly to customers and end-users.
Despite of the plunge in live pig prices, retail prices remain unchanged, particularly in high value cuts such as belly and loin. By selling these cuts, they can minimize a loss from live pig sales significantly. This is resulting in a growing number of cutting plants and pork shops across Thailand.
Secondly, there is a tendency for producers in Thailand to slaughter heavier pigs. Currently, average slaughter weight in the country ranges from 95-100kg. But in the middle of falling prices, it is more economical to kill the pigs at 115-120kg.
However, the degree of gain from raising heavier pigs depends very much on performance of finishers. The feed conversion in the final finishing phase must be low enough, so that the feed cost is not inflated. At the same time, carcass quality and yield must be acceptable by the market.
Thai pig production 2017
The Department of Livestock Development Thailand (DLD) has issued its latest statistics on the pig production in the country in 2017 fiscal (ending September 2017).
According to DLD, Thailand had a total of 10,191,784 pigs during September 2016 â€“ 2017. This is divided into native pigs 650,972 heads, terminal boars 73,493 heads, sows 861,553 heads and commercial pigs 8,605,766 heads.
The average price of live weight pig in the North of Vietnam is 34.000 Vnd/kg (USD 1.49) with the range in price 33.000 â€“ 36.000 Vnd/kg (USD 1.45 â€“ 1.58) and the range in price in the South of Vietnam 28.000 â€“ 33.000 Vnd/kg (USD 1.23 â€“ 1.45)
According to Mr. Jirawit Rachatanan, vice president of CP Vietnam, he forecasts that in 2018 the Vietnamese farmer will be able to smile again and put behind them the great sadness and disappointment of 2017.
All feed mill companies are reporting reduced tonnage of pig feed sold indicating the reduction of pigs in the system.
According to MARD, the Ministry of Agriculture and Rural Development, the pig population has reduced by 5.7% compared with January 2017.
With pigs being sold to China again and the reduced number of pigs coming forward the market does not have the downward price pressure, the issues of 2017 where the supply of pigs was higher than local consumption is coming to an end and besides that the Tet holiday will take place in February, this will increase consumption further and hopefully increase the pig price.
Some companies in Binh Duong province are reporting that the pig population now is balanced for the domestic market and predicting the supply of pigs to be stable.
According to vietstock.vn: Hung Vuong group will sell 50% of capital of Animal feed of Viet Thang joint-stock company to a private company.
The Philippines Pork Producers Weekly Weight (NET Price) as of January 8, 2018
The Philippines is always a pleasure to visit, a Country where the pig farmers are usually profitable due to the constant demand for pig meat and pork. The swine industry of the Philippines doesnâ€™t seem to have the usual global problem of an aging workforce and the difficulty to attract young staff, it is one where a job on the pig farm leads to a career and can after five years if all goals are met can lead to an excellent opportunity to emigrate and become a Citizen of another Country such a Canada, you can feel that the local communities benefit from the growing commercial pig businesses.
Itâ€™s hard to believe the consumption per Capita in the Philippines is only about 15 kgs compared to the EU 27 at 41 kgs, most restaurants offer a vast range of very tasty pork dishes at an affordable price.
The swine sector is the second largest economic activity in the Philippinesâ€™ agricultural sector. Domestic pig production has been rising in both backyard and modern commercial farms. In 2016 (July 1), the total hog inventory in the Philippines was reported to be almost 12.5 million head â€“ an increase of 1.4% compared with 2015.
Backyard farms accounted for 64% of these animals and commercial farms made up 36% of the total hog population. Approximately 35% of the total breeding herd (1.68 million sows or 560,000 head) were on commercial farms (July 1 census 2016). The trend is for a reduction in backyard farms and an increase in commercial farms.
The total breeding herd increased by 2.6% in 2016 and by 5.3% in 2015. The key regions for pig production are Central Luzon and Calabarzon which, together, account for almost two thirds of all commercial pig production.
Huge investment in new pig production, pork slaughter house, processing and Biogas Plants is currently taking place.
I am writing this as I depart from the Philippines heading to my home in the UK ready for Dr Bob Kemp, (VP Genetic Programs and R&D, Genesus Inc) to arrive. He is ready for his Genetic audit of the New Genesus UK Nucleus Farms and presentation at the North Riding Pig Discussion Group meeting in Malton North Yorkshire on Tuesday 16th January 2018.
click for more releases
Get acquainted with the Global Mega Producer
sponsored by Genesus Inc. in collaboration with National Hog Farmer
Twenty-seven pork producers with each owing over 100,000 can claim the title of Global Mega Producers this year. The Mega Global Producers are as diverse as their geographic location.
Established in 1980, The Carthage System is made up of the farm families raising pigs and together with Professional Swine Management (PSM) provides comprehensive management for breeding to wean and wean to finish facilities across the USA Midwest
In 2013 the practice established a consulting business based in China focused on education, training, farm construction and system management.
Today Carthage System is recognized as a Global Mega Producer overseeing over 120,000 sows.
Congratulations to Carthage Systems Professional Swine Management!
Greg Gilsdorf,General Manger, Genesus Genetics
Joe Connor DVM. President of Carthage Veterinary Services and Professional Swine Management.