Pork producer Ean Pollard is losing
$1600 a week while he gambles on
the price of grain coming down by
the end of this year.
Mr Pollard, the son of a pioneering
pork producer with 11,000 animals
in production near Young, and
producers like him have suddenly
become Australian agriculture's
biggest losers.
His last good season on his 1600ha
farm yielded 500 tonne of grain, the
most costly item of production for
his pigs. Since then he has been
buying grain on the open market.
In October prices soared from
$300 to $500 a tonne, sending many
producers, already reeling from
cheap imports, to the wall.
The scale of Mr Pollard's operation
makes any notion of a swift
departure almost impossible, even
though he calculates he'll lose
$900,000 this year.
He has too many pregnant sows,
too much money invested in infrastructure
and too much faith in
his farming livelihood to walk
away.
Staying put means he is losing 50c
a kilo on his returns, which seems
small until multiplied by the overall
78kg weight of a market pig and the
number sold about 460 a week. In
all, that adds up to $16,473 a week.
Appeals to the Productivity Commission
for assistance so far have
been fruitless.
Australian Pork says the commission
thinks grain prices are solely
to blame for the industry's plight,
when it is cheap imports from
Denmark, Canada and the United
States which are sending farmers
broke.
Mr Pollard said over the past two
years the price of a dozen eggs rose 80 per cent, a litre of milk rose 105
per cent and pork rose only 30 per
cent.
Producers of all three commodities
incurred the same increases for
grain, but pork producers were the
only ones hit with competition from
pig meat dumped on to Australian
markets from heavily subsidised
foreigners.
Plotting a graph on the exodus of
producers and likely drop in
demand for grain, he says he's
relying on a last man standing
syndrome, which will enable him to
recover and survive in a volatile
industry.
Australian Pork estimates the
nation's 300,000 sow herd will drop
to 240,000 as a result of imports.
During the industry's formative
years in the 1960s more than 45,000
producers built up the sow herd to a
peak a decade later of 460,000.
In Mr Pollard's air-conditioned
farrowing (birthing) sheds made of
insulated panels, piglets are left to
suckle until weaned.
From there they gorge on wheat,
sorghum, barley and pellets, gaining
weight at an astonishing rate as
much as a kilo a day before
they're dispatched to nearby abattoirs.
Sows
the size of an upturned
coffee table suckle 12 piglets at a
time and have a few days grace
between weaning and mating.
After delivering five litters, they're
sent to slaughter for processing into
salami and other meat products.
From the second they're born a
pig's days are numbered.
It takes 22 weeks before they're
killed.
Imports, inconsistent labelling of
small goods in supermarkets and the
persistent drought are causing many
farmers in the industry to contemplate
their end as well.