Transcript KSTATE Minimizing Feed Costs for Improved Profitability

Minimizing Feed Costs for
Improved Profitability
Joel DeRouchey, PhD, Mike Tokach, PhD, Steve Dritz, DVM, PhD,
Bob Goodband, PhD, and Jim Nelssen, PhD
K-STATE
RESEARCH
and
EXTENSION
K-STATE
Feed Efficiency
High feed
disappearance
F/G =
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Low ADG
Total feed delivered
Weight out – Weight in
Other factors
Feed
Efficiency
Feed
Efficiency
High feed
High
feed
disappearance
disappearance
Low
LowADG
ADG
Other
factors
Other
factors
Genetics
Disease
Particle size
Feed wastage
Genetics
Diet form
Temperature
Feed availability
Mortality
Water availability
Feed delivery
Diet deficiency
Amino acid
deficiency
Temperature
Low Energy diets
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What to do with high corn and
soybean meal prices?
 Dietary ingredients
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•
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Evaluating alternatives
Added Fat
Synthetic amino acids
DDGS
Glycerol
Whey
 Work with what you have: Improve F/G
• Feed budgets and phase feeding
• Particle size evaluation
• Feeder management
• Genetics
• Watch market weights
Alternative Feed Ingredients
Animal
Performance
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Cost
Processing
Storage
Quality Control
Agronomics
Alternative Ingredient Sources

Partial Replacements
 Distillers grains
•Most common but regional
 Fats / Oils
• 2.25 times energy as corn
•Use has dramatically reduced due to cost
•AV blends vs. only vegetable or choice white
grease
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Alternative Ingredient Sources
 Wheat midds
•Bulk density
•Low energy - Monogastrics
 Bakery products
•Variability and availability
 Meat and bone meal
•Variability of product
• 5 – 10% of the diet
 Grain screenings
•Variability and potential mycotoxins
 Off quality grains
•Low test weight
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Feed Bridging Results in Pigs Out of Feed
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Determining the economics of adding fat
to a grain-soybean meal diet
• Increased cost of the diet
• F/G improvement with fat
– 2% improvement for every 1% fat
• ADG improvement with fat
– 1% improvement for every 1% fat (average)
– 2% improvement in early grower
– No improvement in late finisher
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Increasing dietary energy density with added
fat: Analysis of field experiments
• 9 in field research facilities (total of 9,899 pigs)
• Analyzed for the percent change in ADG and F/G per
% added dietary fat (using Proc Mixed in SAS)
– Model included:
• Pig body weight
• Feed intake as a percentage of body weight
• Fat level
• Disclaimers:
– Field data from 2 systems
– PIC 327 or 337 sires
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Prices
Prices
$
4.50
Carcass price
SBM, $/ton
$ 340.00
Est. live price
Fat, $/cwt
$ 27.00
Grind/mix/delivery, $/ton
$ 15.00
Net return, $/pig
Corn, $/bu
$0.50
$0.40
$0.30
$0.20
$0.10
$$(0.10)
$(0.20)
$(0.30)
$(0.40)
$(0.50)
$ 55.00
42.84
2.5% fat
5% fat
$0.10 $0.15
$0.13 $0.14
$(0.03)
$(0.05)
$(0.19) $(0.16)
$(0.21)
$(0.28)
$(0.49)
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Calculator available at www.KsuSwine.org
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Added Fat Summary
• Remember that energy level drives ADG with high lean
pigs in field conditions!
• Should I have fat in my diets currently?
– Long on space = No
• Gain improvements not required while increasing feed cost
– Short on space = Yes
• Evaluate net return and determine optimum level of fat by dietary
phase.
• 2.5% for entire finishing = 3.2 lbs heavier pig
• 5.0% for entire finishing = 6.1 lbs heavier pig
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Using added fat for dust control
• A common practice to reduce dust in the barns is
to use 1% added fat
• Current feed cost increase for dust control in
finishing is $1.13 / pig from 50 to 250 lbs.
• Current feed cost increase for dust control in
finishing is $0.75 / pig from 120 to 250 lbs.
• Simply cannot afford dust control in finishing diets
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Evaluating diet cost with low protein amino
acid fortified diets
Low Protein Amino Acid Price Calculator
Price, $
Corn
4.50
$/bu
Soybean meal
340
$/ton
L-Lysine
0.95
$/lb
DL-Methionine
1.35
$/lb
L-Threonine
1.20
$/lb
Savings per pig with AA fortified diet, $
$0.61
Calculator available at www.KsuSwine.org
DDGS - Growth Performance and Carcass
Characteristics
• Research is inconsistent when feeding DDGS
on grow-finish pig performance.
– Several studies have demonstrated decreased
growth performance levels above 10%
– Other studies suggest feeding DDGS at levels up to
30% have no negative effect on growth performance
• However - negative results on carcass yield and
fat quality are clearly demonstrated
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DDGS Effects on Yield %
DDGS level, %
Reference
0%
10%
20%
30%
Diff. for
each 10%
DDGS
Cook et al., 2005, Akey
77.3
76.6
76.2
75.6
-0.61
Whitney et al., 2006, U of MN
73.4
72.8
72.1
71.9
-0.58
Xu et al., 2006, U of MN
77.9
77.7
77.1
76.7
-0.33
Linneen et al., 2007, KSU
75.7
75.4
75.1
--
-0.30
Gaines et al., 2007, JBS United
76.9
--
--
76.0
-0.30
Gaines et al., 2007, JBS United
77.1
--
--
75.9
-0.40
Average difference for each 10% DDGS
-0.42
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Effect of DDGS withdrawal time
on dressing percent
78
Control
30% DDGS
77.1
77.1
Yield, %
77
76.5
75.9
76
75
74
Control
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None
3 wk
6 wk
Withdrawal before market
JBS United, 2007
What does the carcass yield
reduction mean?
Corn-soy only
Corn-Soy10% DDGS
Final Live wt, lb
270
270
Dressing %
76.0
75.6
Carcass wt., lb
205.2
204.1
0
-1.1
Carc. Wt., diff., lb
Net Revenue loss @ $0.55/lb
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($ 0.61)
DDGS Value Calculator with no performance change
Corn, $/bu
$
4.50
SBM, $/ton
$ 340.00
Monocal, $/ton
$ 430.00
Limestone, $/ton
$ 50.00
Lysine HCl, $/lb
$
DDGS, $/ton
$ 180.00
0.95
DDGS, %
10%
20%
30%
Change in diet cost, $/ton
-$4.46
-$7.13
-$8.63
Approximate savings, $/pig
$1.34
$2.14
$2.59
$224.61
$215.67
$208.77
Breakeven price, $/ton
Calculator available at www.KsuSwine.org
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DDGS Value Calculator with Carcass Yield Impact
Pig Carcass weight, lb
200.0
Carcass price, $/cwt
$ 55.00
Yield reduction for each 10% DDGS
0.4%
DDGS, %
10%
20%
30%
Yield cost per pig
$0.44
$0.88
$1.32
Approximate savings, $/pig
$0.90
$1.26
$1.27
$209.94
$201.00
$194.10
Breakeven price, $/ton
Calculator available at www.KsuSwine.org
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DDGS - Summary
• Currently, feeding up to 20% DDGS is the
generally the most economical in grow-finish
diets in most situations
– These levels may or may not decrease performance
– How to handle yield impacts – withdraw or ignore
• Feeding 20% DDGS should not by itself
increase carcass IV values over 73
– However, feeding this level along with an
unsaturated fat source more then likely will
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Gylcerol for swine diets
• Gylcerol is the resulting product of the bio-diesel
industry
• Pure glycerol is a colorless, odorless, and a sweettasting viscous liquid (when fresh)
• Much less is known about its use in livestock feeding
• Currently numerous National Pork Board and state
pork association funded experiments underway
• Fall 2007 price = ~ $0.06 / lb
• Current price = ~ $0.12 – 0.15 / lb
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Effects of glycerol and soy oil on growth
performance of growing pigs
(25 to 55 lb)
Soy oil, quadratic P < 0.07, glycerol and blend linear P < 0.06
1.30
1.26
ADG, lb
1.25
1.20
1.25
1.26
1.22
1.22
1.24
1.16
1.15
1.10
1.05
Control
3
6
Soy Oil, %
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3
6
Glycerol, %
Groesbeck et al., 2008
6
12
Soy/glycerol
blend, %
Effects of glycerol and DDGS on growth
performance of finishing pigs
(70 to 217 lb)
2.3
Corn-soy
ADG, lb
2.2
2.14
2.11
20% DDGS
2.11
2.12
2.13
2.11
2.1
2.0
1.9
1.8
0
2.5
5
Glycerol, %
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Duttlinger et al., 2008
Effects of glycerol and fat on growth
performance of finishing pigs
(170 to 220 lb)
2.2
2.1
Glycerol
0
2.5%
5%
ADG, lb
2.0
1.9
2.03
1.98
2.00
1.85
1.8
1.78
1.67
1.7
1.6
1.5
Corn-soy
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6% fat
Duttlinger et al., 2008
Fresh Glycerol
on arrival
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Glycerol after
3 months in
refrigerator
Dried Whey for 15 to 25 lb pigs
• In recent trials at K-State with 15 to 25 lb pigs,
removing the 10% dried whey from the diet lowered
pig weight by 0.5 to 1 lb/pig (Bergstrom et al., 2007).
– The savings achieved by lowering feed cost was
greater than the value of weight that was lost by
using the more simple diet without a lactose
source.
• Typically, dried whey must be priced at
approximately $0.35 per lb to breakeven when
comparing feed cost and gain.
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Dried Whey for 15 to 25 lb pigs
• Obviously, if a more economical lactose source could be
found or the diets reformulated with another strategy to
achieve the higher final weight without the increased feed
cost, it would be beneficial.
• If a lactose alternative is not found; however, the most
economic recommendation would be to feed the simpler
diets and accept the lower ADG resulting from the decision.
• Less drastic compromise
– Divide into 2 phases with the first diet containing lactose
source while the second diet does not.
– Still maintain fishmeal and/or blood meal in both diets
• No pig over 25 lb should ever receive lactose in the diet
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Feed Budgets and Phase Feeding
• Follow budgets carefully
– Over budgeting simply increases cost due to
overfeeding nutrients
– Under budgeting can limit growth by causing pigs to
be deficient in nutrients.
• Additional diet phases can reduce feed costs
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Nursery feed budgets
Weaning weight, lb
10
11
12
13
14
15
16
SEW
2
1
1
.5
.5
.5
.5
Transition
5
4
3
2
1
--
--
Phase 2
- - - - - - - - - - 12 to 15 lb - - - - - - - - - -
Phase 3
- - - - - - - - - - 45 to 50 lb - - - - - - - - - -
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Do we still recommend split sex feeding?
• Can you fill a room/barn (feed line) with less than 7
days of age spread of one sex?
– If answer is no, you should minimize age spread rather than
housing by sex.
• If split sex feeding, same diets can be used for both
sexes with different feed budgets to account for higher
F/G of barrows
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Every 100 microns = F/G increases by 1.2%
Effect of Particle Size on Nutrient Digestibility
Particle Size
Microns
Digestibility, %
DM
< 700
86.1
700-1000 84.9
> 1000
83.7
CP
Energy
F/G
82.9
80.5
79.1
85.8
84.4
82.6
1.74
1.84
1.92
KSU, 1985
Based on pig performance and grinding considerations, we recommend a
particle size of 700 microns with a range of 600 to 750 microns
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Particle size – Economics
 1.2% change in F/G equals  ~ 7 lbs of feed per finishing pig
 $0.68 change in current per pig feed cost
 Measure weekly on farm, monthly with lab
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K-STATE
One-Sieve
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Three-Sieve
Accuracy of the One-Sieve
Method
Deviation from actual
300
200
41% of Samples are within ± 100 microns
100
0
-100
-200
-300
400
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600
800
1000
1200
Actual Partcle Size, microns
Baldridge et al. 2001
Accuracy of the Three-Sieve Method
Procedures for three-sieve method available at www.KsuSwine.org
Deviation from actual
300
95% of Samples are within ± 100 microns
200
100
0
-100
-200
-300
400
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600
800
1000
Actual particle size, microns
1200
Baldridge et al. 2001
Effects of Decreasing Particle Size
(700 microns)
• Increases particle surface area
• Allows for greater interaction with digestive
enzymes
• Increased nutrient digestibility and decreased
nutrient excretion
• Improved feed efficiency
K-STATE
Disadvantages of Grinding Too Fine
( < 600 microns)
•
•
•
•
•
Increased dustiness
Increases electrical costs
Increased time
Decreased feed flowability
Increased gastric ulcers
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Basics: Adjust the feeders frequently
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Picture available at www.KsuSwine.org
“If your fingers don’t hurt, you’re not
adjusting feeders enough.”
K-STATE
Proper Feeder
Adjustment
K-STATE
www.KsuSwine.org
Joel DeRouchey, PhD, Mike Tokach, PhD, Steve Dritz, DVM, PhD,
Bob Goodband, PhD, and Jim Nelssen, PhD