Margin Maker for Pork Producers

Name and Position/Title: 
Tom Miller, Swine Field Specialist

Fiscal Year Submitted:
2010

POW Title and Number:
150 Iowa Pork Industry Center

Title:
Margin Maker for Pork Producers

Issue:   
The swine industry plays a key role within Iowa’s economy and provides many jobs both on-farm and in the processing sector.  Sixty percent of the equity gained during the previous 4 years has been lost within the last two years; part of this attributable to high corn and soybean meal prices along with low hog values.  Additionally, the H1N1 flu negatively impacted the industry.  This can be devastating to an entire industry. 

Response:
Previously, some pilot workshops had been done across the state by an ISUE Economics Professor trying to encourage the concept of using margins rather than waiting for market values to arrive.  Several ISUE Field Specialists applied for and received an RMA grant to put on workshops around the State.  The Margin Maker for Pork Producers workshops included a hands-on computer simulated game which was reflective of past market movements.  Producers were recruited to several different meeting sites to participate.

Results:
At the two sites in Southeast Iowa 20 producers were trained in utilizing margins rather than waiting for market prices to develop.  Excellent feedback from the meetings were shared in evaluations.  Currently there are plans to continue this program potentially developing some type of on-line meeting.

2010

150 Iowa Pork Industry Center

 

Page last updated: May 5, 2010
Page maintained by Linda Schultz, lschultz@iastate.edu