Empty pens, cheap grain and attractive financing are currently making for hectic activity at DC Member Service. In fact, more and more members are calling to find out more about the new DC Settlement System at a time when Danish pig production is slowly becoming more profitable. At SPF, which is responsible for just over one fifth of Danish exports, Managing Director Peter Skov Madsen has noted the growing interest in buying piglets.
When I talk to producers, they virtually all concur that cheap grain, the prospect of an improved economy and Danish Crown’s offer of inexpensive financing are the reasons why they want to produce pigs for slaughter again, says Peter Skov Madsen.
Increased earnings in sight
Given the new trend, DC Member Service expects to see an increase in the production of pigs for slaughter in Denmark.
According to recent information from Danish Pig Production, most farmers can increase their contribution margin per pig by up to DKK 150 in the current climate. All else being equal, this is likely to translate into an increasing number of slaughterings later in the year, says Jacob Rasmussen.