Swine Grist - Spring 2018

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Swine Grist

A PERIODIC NEWSLETTER PRODUCED BY GRAND VALLEY FORTIFIERS LTD. VOLUME 5, ISSUE 1 SPRING 2018

Dear Friends, It is with much pleasure that we write to you as we begin a new crop year with its challenges and opportunities that lie before us. Those of us who are involved in the production of pork look forward to playing our part in producing high quality pork products which are in demand around the world. Each year, Ontario Pork searches out a person who has made a significant contribution to the success of the pork industry in Ontario and this year they kindly selected me to the be recipient of the 2017 Ontario Pork Award of Recognition. I would like to formally thank Ontario Pork for this award and all they have done to recognize outstanding contribution to our industry. It has been my pleasure and honour to serve the pork industry here in Ontario for 58 years. I also want to thank you, our industry partners and producers, for entrusting Grand Valley Fortifiers with the opportunity to provide nutritional solutions and expertise for your hog operations. In addition to the great satisfaction that I have had in working with so many customers, our company and staff have provided me with much joy and satisfaction as together we’ve served the pork industry. I thank all who have provided us with the opportunity to serve them and we look forward to working with you in the future. Wishing you good farming this spring. Sincerely, Jim Ross, Founder & Chairman

HOW MUCH ARE DDGS REALLY WORTH?

by: BRUCE SCHUMANN B.Sc. (Agric.), M.Sc., Monogastric Nutritionist, Grand Valley Fortifiers Ltd.

A

s nutritionists, we are often asked to place relative values on ingredients, so that producers can make educated decisions on ingredient selections that will save them the most money. Corn Dried Distillers Grains with Solubles (DDGS) is one ingredient that routinely comes up in discussion. Our Direct Source Commodities group produces a weekly Shadow Prices report that we created back in 2009. In this report, the current market value for a given commodity is listed and then right adjacent to it is the “shadow price” for that ingredient. The shadow price is the economic replacement value of an ingredient if it was to displace corn, soybean meal (SBM) and tallow in a ration. We include energy in this calculation because most producers, (with the exception of diets for dry sows and late grow finish,) will be putting in these new ingredients with the expectation that their performance will remain the same. Therefore, when we look at the replacement value of an ingredient, we look at the relative nutrient specification value of metabolizable energy, lysine, total sulphur amino acids, threonine and tryptophan in that ingredient compared to those nutrients in corn, SBM and tallow. We use metabolizable energy instead of net energy, because most producers are looking at the value of this product to be used in all areas of their farrow to finish operation. A single ingredient will have

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DDGS

a different net energy value when it is being used in the nursery, grower, finisher, dry sow or nurse sow stage of production. We also know that corn DDGS are inherently deficient in lysine, because corn itself is deficient in lysine, so when we place an economic value on our DDGS we include additional lysine (and its cost) into the shadow price. This does artificially inflate the value of DDGS, but it is still representative of the savings that can be obtained in the diet when included. Since we developed our shadow pricing indicator, other companies in the industry have followed suit with their own similar price comparisons. While most companies are in agreement with our ingredient values, with DDGS, there seems to be discrepancies between companies on where the value of DDGS actually lies. Back in January of this year we went through the exercise

Ian Ross, President & CEO | Jim Ross, Chairman Clarke Walker, VP & COO Dr. Martin Clunies, Monogastric Nutritionist David Ross/Patti Bobier, Publishers


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