Increase in straw price - 9th August 2010

The current headline story is the sudden increase in wheat and barley prices (Fig 1), due to both national and international events that have affected harvest predictions. What is not catching the headlines is the background rise in wheat and barley straw used for bedding. Figures from the British Hay and Straw Merchants Association show that, to date, the price per tonne compared with this time last year is approximately 30 to 40% higher, depending on crop.

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Source: British Hay and Straw Merchants Association

Greater price rises can also be associated by region. This has implications for pig producers’ cost of production (COP).

One concerned producer, using 550 tonnes a year, has calculated the increase to his COP of 1p to 1.5 p / kg deadweight. This will be in addition to the recent forecast from BPEX that: “Based on current and forecast prices for wheat, barley and soya, which are the main ingredients in pig feed, it is anticipated that the cost of English pig production will rise from 137.2p per kg in June 2010 to 158.3 per kg in November 2010.”

The industry must again look to review the management of the main contributor to the cost of production: feed. 2TS Action for Productivity factsheets covering important aspects of controlling this and other costs to maximise margin per kg produced are available here.

 

In addition, viewing the straw as another valuable input may encourage producers to reduce the amount required and the overall costs of using straw. Some basic considerations are:

  1. Where is the straw stored? Protecting straw quality can:
    1. reduce the risk of mycotoxin contamination and the associated deterioration in unit performance
    2. reduce the amount of soiled, discarded bales

  1. How much straw is being used? Are you using extra because of poor pen conditions?  If yes, you can be sure you are also be using more food as well. This will be due to:
    1. wet bedding through leaking drinkers, poor drainage, poor pen design
    2. draughts and poor ventilation.

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