Form-A-Feed provides monthly swine feeding projections to keep you in tune with the ever-changing market conditions and how these changes come together to affect profitability. We have developed a profit analysis program called Results Driven Solutions (RDS) to assess customer profitability given a set of costs, production parameters, and market prices. We have used this on a customer specific basis to improve decision making in purchasing open market pigs as well as for determining the correct feeding program and marketing strategy. Listed below is a more broad analysis of current conditions in today's marketplace. Please contact your Form-A-Feed Representative for profit analysis specific to your operation.
Changes over the past two weeks:
- Both open-market weaned and feeder pigs were down sharply (-$1.96 and -$4.71 per head, respectively)
- Predicted lean hog values were mixed as October/November marketings fell -$0.61/cwt while September/October marketings saw a nice jump at +$2.65/cwt.
- Feed costs were up slightly (+$0.15-0.20/head): corn +$0.04/bushel, SBM -$6.00/ton, DDGS -$0.50/ton, Lysine unchanged, and fat +$0.30/cwt.
- Weaned pig profit outlook was unchanged and remained well in the red. The outlook for purchased feeder pigs looks much brighter as a combination of lower purchase price and higher sale price netted a +$10 swing in profitability.