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January 2004

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Pork Quick Facts - 2003

MARKETING

Carcasses are graded in Canada using a system of Grids and Indexes. A grid is a table of numbers used by buyers to evaluate pork carcasses. Grids translate the carcass weight of a market pig and its estimated percentage lean yield (lean meat to fat ratio) into an index. The index system is then used to calculate bonuses and penalties for carcasses outside of the target range within the grid. Most grids target for delivery of pigs having carcass weights of 85 to 95 kgs, which translates to a live weight range of 110 - 125 kgs, and an estimated lean yield of 55% to 65%. Quoted market prices are based on a 100 Index and are paid on carcass weight - approximately 80% of live weight. The actual price paid per kilogram of carcass is calculated by multiplying the quoted market price by the index. Manitoba pigs have an average index of about 109.

BENCHMARK PRODUCTION AND FINANCIAL INDICATORS

Market pigs / sow / year 20 - 24 Days in nursery barn (23kg) 42 days
Piglets born live / litter 11 Days in feeder barn 110 - 115 days
Pigs weaned / litter 9.8 Total days birth to market 150 - 170 days
Litters / year 2.3 Feed Conversion Ratio 5 - 23 kg 1.75
Gestation period 116 days Feed Conversio Ratio 23 - 113 kg 3.00
Lactation 16 - 19 days Maximum Annual Debt Payments:
Sows / Boar 20 Per pig sold - farrow to 5 kg $5.00
Sow Replacement Rate 40% Per pig sold - 5 to 23 kg $2.50
Boar Replacement Rate 50% Per pig sold - 23 - 113 kg $9.00
Birth to weaning (5 kg) 16 - 19 days Per pig sold - farrow to finish $15
Ten Year Average Price $145.50 / 100 kg of carcass weight ($66.13 / 100 lbs)
Operating Expenses (exlucing interest)
  as a % of Operating Revenues (farrow to finish) 70 - 75%

MANITOBA

Manitoba is the third largest producer of pork in Canada behind Quebec and Ontario. Production is expected to exceed 7.2 million pigs in 2003. In 2002, approximately 6.5 million Manitoba pigs were marketed, 3.0 million were exported - 2.0 million of which were weanlings. Weanling exports are strongly influenced by the value of the Canadian dollar and feed grain prices.

World Production:  83 - 86 Million Metric Tonnes

Canadian Pork Production:  1.8 Million Metric Tonnes

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INTERNET PORK SITES

Manitoba Pork Council
Manitoba Pork Marketing
Chicago Mercantile Exchange Lean Hog Contract
Ag. Canada Red Meat Section

For further Information contact your local Manitoba Agriculture, Food and Rural Initiatives Office
Prepared By:
Robert McKenzie, P.Ag.
Farm Management Specialist

 

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