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Hogs at $90 and Still No Profits?

2013-05-28 17:28:00| National Hog Farmer

By Mark Greenwood, AgStar Financial Services, ACA, Mankato, MN It has been a tough run for the swine industry so far in 2013. We have seen a nice increase in the cash market: up to $90/cwt., carcass, pushing per-head revenue close to $185. Problem is we have seen breakeven prices on closeouts near $185/head sometimes higher. Feed costs are the culprit. Average feed costs for a wean-to-finish operation are between $105-$110/head. Those of us who have been involved in the swine industry for quite some time (prior to 2007) can remember that range being the total cost of production. And there doesnt appear to be any relief in sight for the remainder of 2013. Profits will be hard to come by, mainly due to these high feed prices. read more

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