Focus on Preparation - Anticipating Changing Conditions - Dr. Miguel Angel Higuera, National Association of Swine Producers (Spain), from the 2016 World Pork Expo, June 8 - 10, 2016, Des Moines, IA, USA. More presentations at http://www.swinecast.com/2016-world-pork-expo

1. Des Moines, June 7th 2016
Global Pork Production-
Emerging Issues & Insight into
what’s ahead
Miguel Angel Higuera, DVM
Director
Spanish Pig Farmers Association - ANPROGAPOR

2. - Global and European Pig Meat Sector
- European Production System
- Competitiveness
- Production / Hiperproduction

3. Global and
European pig
meat market

4. World Pig Meat Production. 2015
Total Production 2015: 111.458.000 tons (CWE)
50,58%
-0,59%
20,64%
+2,07%
3,10%
+1,50%
2,36%
+4,78%
10,01%
+7,60%
1,65%
+1,94%
1,20%
+3,49% 2,20%
+1,03%
Production change:
2015/2014=0,81%
Global share (%)
Change 2015/14 (%)

5. 51,56%
+0,05%
18,62%
+1,38%
2,60%
+1,44%
2,64%
-3,14%
8,42%
+7,98%
1,92%
+6,73% 2,17%
+0.96%
Consumption change:
2015/2014=0,82%
Total Consumption 2015: 110.944.000 tons(CWE)
World Pig Meat Consumption. 2015
Global share (%)
Change 2015/14 (%)

6. 3,50%
-9,75%
32,89%
+8,49%
7,91%
+1,624
%
31,74%
+2,95%
1,82%
+11,11
%
Export change:
2015/2014=3,96%
World Exports 2015: 7.145.000 tons (CWE)
2,59%
+13,50
%
16,93%
-0,66%
World Pig Meat Export. 2015
Global share (%)
Change 2015/14 (%)

7. 19,73%
-4,65%
14,29%
+12,47
%
13,13%
+11,04
%
4,66%
-41,75%
9,32%
+25,00
%
7,80%
+9,85%
Import Change:
2015/2014=1,26%
World Imports 2015: 6.438.000 tons (CWE)
World Pig Meat Import. 2015

8. Resumen situación Mundial de Carne de Cerdo. 2015

9. China; 56.375; 50,6%
EU-28; 23.000; 20,6%
USA; 11.158; 10,0%
Brasil; 3.451; 3,1%
Rusia; 2.630; 2,4%
Vietnam; 2.450; 2,2%
Canadá; 1.840; 1,7%
Japón; 1.270; 1,1%
Filipinas; 1.370; 1,2%
Otros; 7.914; 7,1%
PIG MEAT PRODUCTION BY COUNTRIES 2015 (THOUSAND OF TONS)

10. 0
5000
10000
15000
20000
25000
30000
Pig Population in UE. 2015
Spain is the first country in pig
population in Europe and third
in the world after China and
USA.

12. + 0,86% + 2,67%

13. 16,2%
11,7%
9,6%
6,4%
6,1%
5,2%
5,1%
4,3%
3,8%
3,4%
3,2%
3,2%
3,2%
1,6%
1,3%
1,3%
0,4%
-0,2%
-0,4%
-0,5%
-0,9%
-1,0%
-1,4%
-1,8%
-2,3%
-3,7%
-4,7%
-12,5%
3,4%
- 25,0%
- 20,0%
- 15,0%
- 10,0%
- 5,0%
+ 5,0%
+ 10,0%
+ 15,0%
+ 20,0%
+ 25,0%
BG HR HU ES IE PT NL EE UK EU IT PL RO CY DE FI BE FR LV AT DK SE SI LT LU GR CZ MT EU
Change in Pig Slaughter (in heads)
Jan-Oct. 2015 compared to Jan-Oct .2014
Source=Eurostat

19. European
Production
System

20. European Production System is base on:
EPS
ANIMALWELFARE
ANIMALFEED
ENVIOROMENT
T R A Z A B I L I T Y
ANIMALHEALTH
FOODSAFETY

30. European
Production
System
Animal Welfare
• Group housing sows
• Manipulated materials
• Tail docking
• Castration
• Loose farrowing

31. http://ec.europa.eu/COMMFrontOffic
e/PublicOpinion/index.cfm/ResultDoc
/download/DocumentKy/71348
EUROBAROMETER
ATTITUDES OF EUROPEANS
TOWARDS ANIMAL WELFARE
2015

38. Group Housing Sows
Directive 120 / 2008
http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32008L0120&rid=1

44. Costs
Example 1. Investment for a 500 sows farm.
Keep same number of sows
Increase the facilities
Feeding in individual semibox

45. Example 1.
Total Euros
New constructions 33.750,00
Adaptation of existing Gestation 16.275,00
New Materials 22.500,00
New feeders (20% replacement) 750,00
Floor (continuous solid floor <15%) 6.200,00
Other facilities 2.500,00
Financial cost (10 years credit) 15.000,00
Cost / sow 163,95 € – 193,95 €
Costs

46. Example 4. Investment for a 500 sows farm.
Keep census
Increase the facilities
Free access stalls
Costs

47. Example 4.
Total Euros
New constructions 56.250,00
Adaptation of existing Gestation 15.000,00
New Materials 36.500,00
New feeders (20% replacement) 750,00
Floor (continuous solid floor <15%) 12.000,00
Other facilities 1.000,00
Free access stalls 25.000,00
Financial cost (10 years credit) 25.000,00
Cost / sow 293,00 € – 343,00 €
Costs

48. Example 5. Investment for a 500 sows farm.
Keep census
No increase the facilities
Electronic Sow Feeding System
ESF in Iberian sowsElectronics sows feeders
Costs

49. Example 5.
Total Euros
Adaptation of existing Gestation 30.000,00
Electronic Feeders + cables + computer/software 50.000,00
Floor (continuous solid floor <15%) 12.000,00
Other costs 1.500,00
Financial cost (10 years credit) 15.000,00
Cost / sow 187,00 € – 217,00 €
Costs

50. Example Census Feeding Cost (€)
1 No change Indv. Semibox 163,95 – 193,95
2 No change Slow feeding 168,60 – 198,95
3 Reduction Indv. Semibox 72,43 – 109,93
4 No change Free access stalls 293,00 – 343,00
5 No change Electronic Sow Feeding 187,00 – 217,00
Average cost 176,00 € – 211,00 €
Costs

51. Production loss during the works
• First semester: reduction of 15% of sows (in order to have enough
available space to make the works)
• During 1 year. Reduction of production of 10% due animal stress
(works) and adaptation to new management.
Sip Consultors
Costs

52. Sip Consultors
1st SEMESTER
Fixed cost (85% sows) 24.067,8 €
Variable cost (-)
1st YEAR
Fixed cost (10% production reduction) 29.683,2 €
Variable cost (10% production reduction) 15.611,9 €
TOTAL = 69.363 €
69.363 € / 500 sows = 138,7 €/sow
Production loss during the works
Costs

53. Example Feeding Investment Cost
(€)
Production loss
(€)
Total cost (€)
1 Indv. Semibox 163,95 – 193,95 138,7 302,6 – 332.6
2 Slow feeding 168,60 – 198,95 138,7 307.3 - 337.6
3 Indv. Semibox 72,43 – 109,93 138,7 211,1 – 248,6
4 Free access stalls 293,00 – 343,00 138,7 431,7 – 481,7
5
Electronic Sow
Feeding
187,00 – 217,00 138,7 325,7 – 355,7
* Average of total cost to compliance with Directive 120/2008 ≈ 500 – 550 €/sow
Costs

54. Results Group Housing Sows in Spain
# farms % Av. census
New farm 19 16% 1.344
Rebuilt farm 208 84% 912
Survey results:
# farms % Av. census New Rebuilt
AEF 39 16% 1.322 21% 15%
Free Access 30 12% 1.074 13% 12%
Semi Box 148 60% 920 54% 61%
Hopper 8 3% 756 3% 3%
Others 22 9% 714 10% 9%

55. L/S/Y WP/F W/S/Y Feed S/Y Feed WP
AEF 2,4 11,1 26,7 1.157 43,9
Free Access 2,38 10,7 25,5 1.151 45,6
Semi Box 2,35 10,7 25,1 1.120 44,8
Hopper 2,33 10,8 25,1 1.191 47,8
Others 2,25 10,8 24,3 1.126 46,7
Results Group Housing Sows in Spain
L/S/Y WP/F W/S/Y Feed S/Y Feed WP
New 2,39 11,2 26,7 1.125 42,9
Rebuilt 2,35 10,7 25,1 1.136 45,6

57. Born alive / Farrowing;

58. Manipulated material / Tail Docking
http://eur-lex.europa.eu/legal-
content/EN/TXT/PDF/?uri=CELEX:32016H0336&rid=2

59. Manipulated material / Tail Docking

60. http://ec.europa.eu/foo
d/animals/docs/aw-
pract-farm-pigs-staff-
working-
document_en.pdf
Manipulated material / Tail Docking

61. Material manipulable
Rooting
Chewing
Sniffing

64. Castration
http://ec.europa.eu/food/animals/docs/aw_prac_farm_pigs_cast-
alt_declaration_en.pdf

65. Castration
Directive 120/2008
* < 7 days: without anaesthesia neither analgesia. Qualified worker
* > 7 days: With anaesthesia and prolonged analgesia under veterinarian
control
Voluntary declaration:
* 01-01-2012. No castration without anaesthesia y/or analgesia
* 01-01-2018. End of surgical castration
- options:
- Entire male // Semen sexing // genetic selection
- Inmunocastration
- Exceptions:
- High quality traditional products

66. Percentage non-castrated male pigs in selected EU countries during
in 2006 and in 2014.

69. Loose farrowing

70. Loose farrowing

71. European
Production
System
Animal Feed
• GMO: Genetically modified organism
(restrictions)
• PAPs: Processed Animal Proteins
(Forbidden)
• GP: Growth Promoters
(Forbidden)
• Medicated Feed
(More controls)

72. European
Production
System
Environment
• IPPC. Integrated pollution prevention and control
• BAT  Best Available Technics
• Nitrates Directive – Ammonia Mitigation
• Water Quality
• Air Quality

73. http://eippcb.jrc.ec.europa.eu/referenc
e/BREF/IRPP_Final_Draft_082015_bw.pdf
http://www.magrama.gob.es/es/ganaderia/te
mas/ganaderia-y-medio-
ambiente/101unece_tfrn_2014_tcm7-
414157.pdf

77. European
Production
System
Animal Health
• New Regulation on Animal Heath
• “Prevention is better than cure”
• Antibiotics

78. European
Production
System
Food Safety
• Official Controls
• AMR. Antimicrobial Resistance

81. http://ec.europa.eu/health/antimicrobial_resistance/d
ocs/roadmap_amr_en.pdf
http://ec.europa.eu/dgs/health_food-
safety/docs/communication_amr_2011_748_en.pdf

84. 36%
48%
8%
7%
35%
34%
22%
8%
38%
34%
20%
8%
Antimicrobial application. Europa. 2011-2013
Premix (%)
Oral Powder (%)
Oral Solution (%)
Injection (%)
IMM (%)
Others (%)

85. 54400
54600
54800
55000
55200
55400
55600
55800
56000
2013 2012 2011
PCU. Population Correct Unit.
ESVAC
7800
7900
8000
8100
8200
8300
8400
8500
8600
2013 2012 2011
Quantity of sales (tons)
2013 2012 2011
Q/PCU 147,9 145,2 151,8
140,0
142,0
144,0
146,0
148,0
150,0
152,0
154,0
Títulodeleje
Q/PCU
http://www.ema.europa.eu/docs/en
_GB/document_library/Report/2015/1
0/WC500195687.pdf

86. New legislation in Europe:
- Regulation on Veterinary Medicines
- Regulation of on the manufacture, placing on the market
and use of medicated feed
- (Cross Contamination)

87. http://ec.europa.eu/health/antimicrobial_resistance/doc
s/2015_prudent_use_guidelines_en.pdf

90. http://www.epruma.eu/

91. Critically Important Antibiotics (CIAs)
- Quinolones / Fluoroquinolones
- Cephalosporin's de third y fourth generation
- Colistine. Mrc-1. E. coli

92. The 2013 advice recommended maintaining the use of colistin in
veterinary medicine but only for the treatment of infected animals and
those in contact with them, and removing all indications for preventive
(or prophylactic) use, in line with the principles of responsible use.

93. Reduce

95. Reduction. The Netherland

96. Reduction. The Netherland

97. The yellow card
initiative
Reduction. Denmark

98. Reduction. Denmark

99. Competitiveness

108. Hyperprolific
sows

110. Correlation between number of piglet born and the average weight of the litter
Smith 2007

111. Born weight variation and genetic lines

115. Thank you so much!