Show Me the Money! The fiscal year 2012 rode the roller coaster as a tremendous planting season was overshadowed by drought through the summer months. Producers saw profits dwindle away as corn and soybean meal prices skyrocketed and hog prices hovered with discussions of plentiful pork supply. Dr. Meyer shares his insight of what 2013 may hold in store for pork industry economics.
Hot / Humid and the Price of Feed The Chinese farmers are aware of the US drought conditions and had lots of questions on how bad it might be and where it drought is occurring in the United States. Corn prices in China (Shandong province, China) are about $10.50 and soybean meal (SBM) prices are around $540/ton. Pigs are at break-even levels for the year or even less for some. Excellent producers are now making less than $15/head. It is possible that corn in China will go to $15/bushel this next year and SBM to $600/ton.
Much of the poultry industry is failing and falling fast. Most of the feed companies are not making money this year at best and losing a load at worst! The weather has been mild in their eyes, but I find that heat and humidity are pretty much like the worst in the Midwest. Corn looks real good and everything is green! They use irrigation and can do that with individual water hoses that are dragged from row to row by the owners. This is best described by a clear plastic tube that looks to be about 2 ½ inches and pretty light plastic (we ran over one on the driveway and it started a nice water shooting display) [Editor note: text Jim Lease, JBS United].
How is Weather Playing A Part in Agriculture? High temperatures across the USA have been a departure from the 1981 2010 average. The persistent heat from the summer of 2011 had more than 70 days over 100 degrees in some spots across the USA and every state has had temps over 100 degrees. What are the impacts on agriculture going forward? What should we do? [Video] [Photo Watts Up With That?]
Severe weather can affect more than plans. The Climate Corporation provides
insurance against weather. Based on conditions in and around the
growing season, this risk management tool provides coverage against the
biggest unknown in our industry.
The midwest is experiencing high heat and humidity this summer. These high temperatures not only make you feel terrible but your livestock can feel bad too. It is important to keep an eye on the animals and take action before they start to get heat stress.
This document provides guidelines on identifying optimum swine temperature ranges and tactics to keeping the pigs cool.