The latest edition of the BPEX weekly includes: Finding Latest Feed Info, Bacon Connoisseurs Week, Farm to Plate Day, Tip of the week: Wallows, Action for Productivity: Ventilation, Rooting for Pigs, Change for Success, Pig Levy Up By 10p, Task Force Meets, Export Team Strengthened, Food For Thought, Danish Annual Report, Smithfield Possible Pig Loss, Closed Circle!!, Danish Crown Pay Freeze and International Prices
Finding Latest Feed Info
UK delivered feed wheat prices increased over the week, with East Anglia wheat for March delivery rising to £110/t and Nov 09 at £125.
The USDA estimate that world soyabean production at 223.3Mt, this season 900,000 tonnes below 2007/08. This is in response to lower Argentinean and Brazilian production, down to 43Mt (46.2Mt 07/08) and 57Mt (61Mt 07/08) respectively. The EU is expected to import less soyabeans this season, as rapeseed, sunflower seeds and feed grains are more available.
Marketing News
Bacon Connoisseurs Week
This week is the third Bacon Connoisseurs Week. Some of the week’s activities included; the celebrity supporting the week, Anna Ryder Richardson, tantalised the nation’s taste buds with a morning of regional radio interviews on Monday.
The 2009 Connoisseur Bacon winners were announced at the official launch event in London, which was attended by all 12 finalists & guests from the competition. The three category winners were Multiple Retailer – Case and Sons with ‘Traditional Smoked Bacon’, the Independent Retailer Winner – Dukeshill Ham Company with ‘Wiltshire Cure Back Bacon’ and the Foodservice Supplier Winner – Woburn Country Foods with ‘Woburn Black Back Bacon’, and the overall winner was Case & Sons.
Consumer print and radio coverage began with Sir Terry Wogan who was presented with his very own Speciality Bacon, created specially for him by the 2008 Bacon Connoisseurs Week winning butcher. Sir Terry also enjoyed a week long 'menu' of bacon delights, which he mentioned daily on his BBC Radio Two programme and today he quoted “what am I going to do without Bacon Connoisseurs’ Week”. LIPs ladies travelled around the country delivering bacon sandwiches to local radio stations. 15 regional newspapers and 15 regional radio stations ran bacon themed competitions throughout the week.
London based radio stations also enjoyed a Bacon Frittata to keep them going through their morning shows, which resulted in mentions on Magic FM and Capital FM. Further media results were; Anna Ryder Richardson appearing on the TV programme Market Kitchen celebrating the Week, the programme repeats 18 times on UKTV Food, UKTV Food+1 and BBC Two. The Times newspaper dated Monday 16th March featured an article called, “To eat… Bacon this week”; a full page spread will appear in Woman magazine and in Hello! (on sale March 31), plus 25 regional print articles have appeared to date …with many more to come.
The majority of major retailers also ran promotional activity throughout the week, from price promotions to on pack recipes and recipe booklet giveaways. Independent retail butchers, all received promotional material to support the week. Last but not least, Jonathan Ross has been filmed wearing a bacon tie – and he was most impressed with it. At the time of writing we don’t know if it will be transmitted or end up on the cutting room floor but fingers crossed. For more info go to www.lovebacon.info
Farm to Plate Day
This week a Farm to Plate workshop was held at Newlyns Cookery School in Hook, Hampshire. The BPEX team gave an Overview of the pork carcase showing the journey from a carcase through to ‘ready to cook’ cuts, which included information on specifications, yields & costing. This was followed by a cutting demonstration of a side of pork cut and prepared into modern, traditional and alternative retail cuts. To demystify the cooking of pork the group were shown some basic cooking concepts, and what happens to pork cuts during the cooking process followed by a tasting of the dishes.
The afternoon comprised of a hands on demonstration of how to make sausages by Lucas Ingredients, concluding with pork market retail data and highlights of recent BPEX consumer marketing activity. For more information on holding one of these days please contact claire.holland@ahdbms.org.uk.
Knowledge Transfer
Tip of the week: Wallows
Although we have only had a couple of days of warm weather it is important to think about establishing wallows in the next few weeks, ready for summer. There are many ways to create wallows, from hiring in mini diggers to allowing the sows to dig for you. Using wallow makers alongside wallow troughs, or water bowsing, helps maintain the thick emulsion like mud that is essential for sun protection and keeping pigs cool.
Action for Productivity: Ventilation
Ventilation systems are intended to provide optimum living conditions for pigs.
A well-managed, functioning, efficient ventilation system effectively draws fresh air into a building and removes stale air containing a proportion of microbes, dust, harmful gases and water vapour. Inefficient ventilation is detrimental to pig and staff performance (particularly on hot days) and costs more to run.
Although there are many types of ventilation system, fully controlled and automatically controlled natural ventilation (ACNV) are widely used and are the focus of this latest Action for Productivity sheet, which can be downloaded here.
Rooting for Pigs
The RSPCA has launched a campaign on rooting and environmental enrichment for pigs - 'Rooting for pigs'. They are calling for:
The results of a recent poll reveal only a staggering two per cent of those questioned understand the terms used on pork products, such as 'free-range', 'outdoor bred' or 'outdoor reared', meaning almost all shoppers are confused about the conditions in which pigs are actually reared.
That's why the RSPCA is calling on supermarkets and other UK food retailers to work with them and the British pig industry to agree upon set definitions. More information can be found here.
Change for Success
The BPEX Change for Success KT event was itself a huge success with more than 100 delegates attending from all sectors of the industry.
The speakers included David Hughes, Emeritus Professor of Food Marketing at Imperial College London, producer Roger Meadows on how to manage the business by numbers and Asger and Dorthe Krogsgaard from Denmark on staff retention.
They were followed by Dr Emma Baxter looked in depth at piglet survival while vet David Chennells talked about biosecurity.
BPEX Chairman Stewart Houston said: “I really enjoyed it and could see a lot of animated discussion at the end. It reminded me that we haven’t seen these levels of participation and enthusiasm for years.”
Presentations will be available on the BPEX website during the next week. Alternatively, if you would like hard copies contact us at kt@bpex.org.uk.
National News:
Pig Levy Up By 10p
A move to restore the levy paid to BPEX by pig producers and processors to £1.05p has been given ministerial approval.
The levy paid by producers was cut by 10p last year from 85p to 75p per pig slaughtered in response to the crisis faced by producers when they saw their feed costs rocket.
The re-instatement of the levy follows an industry consultation on the BPEX business plan for the coming year as part of the overall AHDB business plan. The change will take effect from Monday, April 6.
BPEX Chairman Stewart Houston said: “This means the total amount paid by producers and processors will be going back up to £1.05 per pig.
“The cut was made in recognition of the difficult times the industry was going through.
“Since then the market has improved though it would be wrong to believe everything in the garden is rosy.
“The money will be used by BPEX to implement its strategy to help create a sustainable and profitable future for the English industry.”
Task Force Meets
Pig farmers, meat processors, retailers, and the Government have agreed to work on areas of common concern for the benefit of consumers and the industry itself.
The seventeen members of the new Pig Meat Supply Chain Task Force, set up to identify the biggest challenges faced by the industry and suggest solutions, met for the first time this week.
The group is working to improve the resilience of the supply chain through:
investigating how a standardised code of practice for clearer labelling could be introduced;
improving pig herd health;
examining how to increase the amount of produce reared to higher British welfare standards bought through Public Sector procurement; and
addressing the regulatory burden on the supply chain.
Farming Minister Jane Kennedy said:
"It's fitting that the Task Force should meet for the first time during Bacon Connoisseurs' Week.
"I'm extremely encouraged by the fact that all sections of the supply chain - from producers to retailers - want to get round the table and see what improvements can be made.
"I want the group to improve things for consumers and the supply chain by delivering on issues like clearer labelling, better pig health, and greater public sector procurement of higher welfare products. The industry needs action and results."
The Task Force comprises: Jane Kennedy, Minister for Farming and the Environment (Chair); Stewart Houston, Chairman of the National Pig Association (NPA); Barney Kay, NPA General Manager; Richard Lister, producer and Chairman of the NPA Producer Group; Mick Sloyan, Chief Executive of BPEX; John Hughes of Tulip; Bill Thurston of Vion; Adrian Dowling of Bowes of Norfolk; Bernard Hoggarth of Cranswick; Simon Galkoff of Whitbread; Nick Scrase from ASDA; Simon Twigger from Sainsbury's; Colin Holmes from Tesco; Andrew Thornber from Morrisons; Jan Anderson of Yorkshire Forward; Trisha Henton from the Environment Agency; Susan Knox representing consumer bodies; and Ian Platt of Baxter Storey.
International News
Export Team Strengthened
Two new agents have been appointed by EBLEX and BPEX to cover Spain and Germany.
Sonia Palomo is the agent for Spain, based in Madrid working on a part-time basis. Sonia has a wealth of experience in the meat industry.
In Germany, Susanne Müllem is the new agent and she will also be working on a part time basis.
Susanne worked in the EBLEX and BPEX export department in Milton Keynes for two years before returning to her native Germany.
Export Manager Jean-Pierre Garnier said: “Both Sonia and Susanne have great experience on which we can draw and they will both be able to make a valuable contribution to our work in Spain and Germany.”
Food For Thought
The economic recession will cause a fall in demand for relatively costly beef, lamb and cheese over the next two to three years, according to the EU.
But it said chicken and pork should sell well thanks to competitive prices compared with other meat and strong consumer preference.
Danish Annual Report
The Annual Report 2008 from Danish Pig Production is now available, click here to go to the home page. Reports dating back to 1999 can also be found there.
Smithfield Possible Pig Loss
Smithfield executives told analysts last week they would not be surprised if the hog operation portion of the company's vertically integrated structure lost money in 2010 and that the company is "taking a very serious look at whether we should be raising hogs just to raise hogs to sell to somebody else."
While the executives did not directly state they were considering selling any hog operations, Barclays Capital analyst Christopher Bledsoe indicated in a note to investors that it might be a good idea if they did.
"What's noteworthy about SFD's Hog Production operation is that, should this business find itself in a loss-making position in fiscal 2010, its divestiture would remove a drag on EBITDA and thus provide more, not less, interest coverage covenant flexibility," Bledsoe wrote.
Closed Circle!!
According to Campaign one of the big things in Japan is Schochu, potato liquor grown on soil fertilised by the manure of pigs fed with the leftovers from making Schochu!!!
Danish Crown Pay Freeze
New measures at pork giant Danish Crown 17 Mar 2009.
Danish meat giant Danish Crown last week announced the first elements of a plan which aims to ensure competitiveness throughout the value chain, also in the future.
Under the name DC Future, employees at the Danish Crown head office in Randers, Denmark, were informed of the plan’s initial measures, which this year include a pay freeze for all employees who normally negotiate their pay every year.
The pay freeze is part of a broader package, and over the coming weeks the Danish Crown group must decide what other measures to implement under the DC Future plan.
International Prices
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