While other lenders are more circumspect, Farm Credit Canada (FCC) has set the financial benchmark for talks on lending success as producing pork for $1.40 a kilogram in two years and making this the starting point for financial analysis of a pig farm.
As a result, producers are asking themselves the question: Can they produce pork, cover costs at that level and service their debt?
Henry Homan and his sons, John and Dirk, finish pigs from 275-280 sows on homegrown feed from 450 acres of land in the Niagara Region, near Wellandport. Their farm, Hihojo Ltd., weans 27.1 pigs per sow and ships 6,500 pigs annually. Average corn yield as recorded by Agricorp is 161 bushels per acre.