Swine Feeding Projections – July 9, 2018
Changes over the previous few weeks:
- Open-market value of weaned pigs held steady (+$0.02/head), while feeder pig values dropped significantly (-$9.56/head).
- Mixed changes in predicted lean hog values for the December/January and October/November markets (+$0.41 and -$11.89/cwt, respectively).
- Feed costs -$2.50-3.50 per head: corn unchanged, SBM +$5.00/ton, DDGS -$45.25/ton, lysine -$0.67/cwt, and fat +$0.21/cwt.
- Open-market weaned pig profitability improved moderately (+$4.00-5.00/head), with losses in the $2-3 range.
- Feeder pig profitability took a major step backward (-$10.00-12.00/head) and fell back into the red.
With recent swings in ingredient prices and seasonally low lean hog values, there is limited economic incentive to feed high nutrient density diets. Producer/system dependent factors outside these example scenarios need to be considered in this regard.