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SW MN - mt. lake/windom | There is more independent producers out there than most people are aware of. Pipestone systems which is a management firm primarily managing farrowing units ranked in the top ten largest U.S. producers is basically a collaboration of independent producers that hire pipestone systems (management firm) to manage there vested interest in farrowing units. I you believe pipestone systems is maybe managing around 140-160k sows. We have 2 other management firms within 100 miles of me that does the same thing. I do believe that Carthage vet systems (out of Ill.) may be similar as well.
I'm not so sure that it does take that large of a volume to make it. I guess its all relative to what "volume" means, but I believe you need to find a advantage (niche) that you have in the industry and exploit that advantage. Look for resource utilization, value added procedures, regenerative ag methods... they may not be in your backyard you may have to go seek them out.
The first six years that I sold pigs I did not have a contract with a packer, it wasn't till 2013 that I have a written contract with a packer. If you talk to the packer and they say that they can not accommodate you, you can use a brokerage firm to sell to the packer, basically the brokerage firms have negotiated a base price structure and delivery quantity like any producer and they rely on being able to pick up pigs from independent producers that do not have written contracts or have overflow production. There are options out there this industry isn't that hard to break into. | |
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Long term hog outlook
