The French Pig sector on the threshold to changeThe French Pig sector on the threshold to changeBoris Duflot, Christine RoguetBoris Duflot, Christine Roguet

IFIP – Institut du Porc

1st agri benchmark Pig and Poultry Conference, 12. - 14.11.2012, Braunschweig, Germany

BACKGROUND

•Population: 65,4 million (21st)•Population: 65,4 million (21st)

•GDP: 2 773 billion $ (5th)

•GDP per capita: 42 377 $ (23th)

• 11 000 pig farms

• 13,8 millions pigs •GDP per capita: 42 377 $ (23th)

•Arable land: 18,3 million ha (17th)

•Arable land per capita : 0,28 ha (47th)

• 13,8 millions pigs

• Mean farm size

• 191 sows/farm

• 800 FP/farm •Arable land per capita : 0,28 ha (47 )

• 800 FP/farm

• 50% of the farms

Pig herdin 2010

PRICES IN OCTOBER 2012

Producer’s prices (gate of the farm)

- Weaning piglet (8,1 kg): 44,2 $- Weaning piglet (8,1 kg): 44,2 $

- Rearing piglet (26,3 kg): 1.98 65,4 $

- Slaughter pig (per kg slaughter weight): 2,32 $

Compound feed for pigs= 5,64 MT (~70%)

Spot market prices in Western France

- Wheat: 323 $/T — Corn: 314 $/T — Soybean meal: 611 $/T

BALANCE SHEETCompound feed for pigs= 5,64 MT (~70%)

Feed mixed on the farm for pigs = 2,5 MT (~30%)

Production

2005 2011

GIP (gross indigenous production) 2 309,2 2 286,3

Production

< 100.000 TGIP (gross indigenous production) 2 309,2 2 286,3

Import of live animals 15,1 8,6

Export of live animals 50,3 59,6

100.000

200.000 T

Slaughterings ( = net production) 2 274,0 2 235,4

Import Meat 530,1 654,4

Export Meat 612,1 669,7

> 200.000 T

TotalExport Meat 612,1 669,7

GIC (Gross Indigenous Consumption) 2 156,0 2 220,1

Self sufficiency (%) 107,1 103,0

Total

Self sufficiency (%) 107,1 103,0

CONSUMPTION (KG/CAPITA)

• 250 sows in a

• 50 ha of crops (wheat, barley, rapeseed, maize)

CONSUMPTION (KG/CAPITA)

• 50 ha of crops (wheat, barley, rapeseed, maize)

• 2,5 full

• Closed barns, dynamic ventilation, fully34,136,8 Pork • Closed barns, dynamic ventilation, fully

• 26,3 pigs produced per sow per year, 116 kg live weight per pig

• Slurry: spread on arable land or treated (biological treatment)

34,136,8 Pork

Poultry

Beef

25,13,3

Beef

Sheep

Fish & Seafood25,125,4

3,3Fish & Seafood

Share of pig meat sold in supermarkets: 85%

Butcher shops: 10%

• Strengths: high standards in technical efficiency, strong horizontal and vertical coordination by the cooperatives,

Butcher shops: 10%

Other: 5%

• Strengths: high standards in technical efficiency, strong horizontal and vertical coordination by the cooperatives,

available land and crops, large domestic market made of modern and traditional products

• Weaknesses: lack of investment and restructuration, age of buildings, social opposition to farm projects

SU

MM

AR

Y

STA

TE

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• Weaknesses: lack of investment and restructuration, age of buildings, social opposition to farm projects

• Opportunities: building sustainable farms for the future, in a context of higher global demand for meat,

government plan to restructure the farmsSU

MM

AR

Y

STA

TE

ME

NT

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government plan to restructure the farms

• Threats: drop in pig production after 2013 ? (welfare deadline), slaughter overcapacity

SU

MM

AR

Y

STA

TE

ME

NT

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Contact: IFIP – Institut du Porc La Motte au Vicomte BP 35104 - 35651 Le Rheu cedex - France

The French Pig sector on the threshold to changeThe French Pig sector on the threshold to change

14.11.2012, Braunschweig, Germany

BACKGROUND

PIG FARMS IN 2010 (General Census)PIG FARMS IN 2010 (General Census)

11 000 pig farms holding 98% of the pig herd (16 000 in 2000)

13,8 millions pigs / 1,1 million sows / 4,3 M piglets / 8,4 M finishing pigs (FP)13,8 millions pigs / 1,1 million sows / 4,3 M piglets / 8,4 M finishing pigs (FP)

Mean farm size

191 sows/farm for the 5 700 farms with 50 sows and more (on a total of 7 900)

800 FP/farm for the 10 400 farms with 100 FP and more (on a total of 21 100) 800 FP/farm for the 10 400 farms with 100 FP and more (on a total of 21 100)

50% of the farms, 85% of the sows and 66% of the FP are in a farrow-to-finish system

Hte-

Nord-Pas-

de-Calais

3,5

Pig herd regional distribution in 2010Data on the map indicate the percentageof pig herd per region

Hte- Picardie

Nord-Pas-

de-Calais

-7,1

Change in pig herd (in %) per region between 2000 and 2010

Hte-Norman

die

1,0Basse-

Normandie

4,2Bretagne

56,8Alsace

0,7

Champagne-

Ardenne

1,3

Picardie

1,1

Pays

Lorraine

0,7

Centre

IDF

0,1

Hte-Norman

die-13,0

Basse-Normandie

-2,1Bretagne

-3,9 Alsace

+14,5

Champagne-

Ardenne

+6,7

Picardie

-8,9

Pays

Lorraine

-4,3

Centre

IDF

-32,0

Poitou-Charentes

56,80,7

Franche-Comté

0,8

Pays

de la Loire

11,8Bourgogne

1,1

Centre

2,4

Limousin

herd per regionin 2010

< 100 000 pigs(max : 29 890)

100 000 à 200 000

Poitou-Charentes

+3,3

+14,5

Franche-Comté

-1,5

Pays

de la Loire

-5,7Bourgogne

-25,4

Auvergne

Centre

-3,0

Limousin

Change in pig herd

between 2000 and 2010

> 0

From 0to -5%

Lan

Charentes

2,9

Aquitaine

2,9

Rhône-Alpes

2,2

Auvergne

1,9

Limousin

1,0

100 000 à 200 000

200 000 à 400 000

400 000 à 600 000

Lan

+3,3

Aquitaine

-19,8

PACAMidi-Pyrénées

Rhône-Alpes

-28,0

Auvergne

-16,7

Limousin

-27,0From -5%

to -10%

From -10to -25%

From -25%

to -60%Lan

guedoc-

Roussillon

0,2

2,9

Corse

0,2

PACA

0,2

Midi-Pyrénées

2,9

> 600 000 pigs(min : 1 626 000)

Lan

guedoc-Roussillon

-34,8 Corse

-17,1

PACA

-56,3

Midi-Pyrénées

-26,4to -60%

Source : IFIP from General Census

FEED AND SLAUGHTER INDUSTRY

Source : IFIP from General CensusSource : IFIP from General Census

FEED AND SLAUGHTER INDUSTRY

FEED

Compound feed for pigs= 5,64 MT (~70%)SLAUGHTERINGS: 24,8 M heads

Compound feed for pigs= 5,64 MT (~70%)

Feed mixed on the farm for pigs = 2,5 MT (~30%)

SLAUGHTERINGS: 24,8 M heads

Top 3 companies = 49%

Top 10 companies = 82%

Production Abattoirs HeadsProduction Factories Tons Production Abattoirs Heads

< 100.000 hds 147 15%

Production Factories Tons

100.000 T 219 35%

100.000 –

1.000.000 hds22 28%

100.000 –

200.000 T47 32%

> 1.000.000 hds 10 57%

Total 179 100%

> 200.000 T 23 33%

Total 289 100% Total 179 100%

50 cooperative groups = 9000 pig farmers, 91% of the pigs produced

Cooperatives involved in slaughtering and feed production

Total 289 100%

THE TYPICAL FARM

Cooperatives involved in slaughtering and feed production

250 sows in a farrow-to-finish pig unit

50 ha of crops (wheat, barley, rapeseed, maize)

THE TYPICAL FARM

50 ha of crops (wheat, barley, rapeseed, maize)

2,5 full-time workers (of which 1 employee)

Closed barns, dynamic ventilation, fully-slated floor, automated feedingClosed barns, dynamic ventilation, fully-slated floor, automated feeding

26,3 pigs produced per sow per year, 116 kg live weight per pig

Slurry: spread on arable land or treated (biological treatment)

Strengths: high standards in technical efficiency, strong horizontal and vertical coordination by the cooperatives, Strengths: high standards in technical efficiency, strong horizontal and vertical coordination by the cooperatives,

available land and crops, large domestic market made of modern and traditional products

Weaknesses: lack of investment and restructuration, age of buildings, social opposition to farm projectsWeaknesses: lack of investment and restructuration, age of buildings, social opposition to farm projects

Opportunities: building sustainable farms for the future, in a context of higher global demand for meat,

Threats: drop in pig production after 2013 ? (welfare deadline), slaughter overcapacity

France www.ifip.asso.fr boris.duflot@ifip.asso.fr christine.roguet@ifip.asso.fr