FARM MANAGEMENT SERIES FM-503 Rev. 11/84 
Hog Producers 
PLANNING GUIDE 
Should I Produce Hogs 
Over time the hog enterprise has been the most profitable livestock enterprise on 
Minnesota farms. It has yielded higher returns per dollar invested as well as 
higher returns per hour of labor than other livestock enterprises. 
Hog production fits well on most Minnesota farms. 
The feeder pig production enterprise fits on smaller farms where labor is 
plentiful relative to feedgrains. 
The other half of the hog production program--finishing feeder pigs--fits well 
on farms where feedgrains are plentiful but labor for farrowing is limited. 
The complete hog program fits well on most all intermediate size farms where 
feedgrains are available and the operator has an interest in hog production. 
PLANNING INFORMATION 
The tables on the next three pages show expected feed requirements, operating costs 
and building investment costs for the above three different types of hog programs. 
Costs and return budgets are shown for 1985 and for the longer term. Prices and 
profits will vary by years, but we suggest a long run planning price of $48 to $50 
for market hogs with corn at $2.60 to $2.80 per bushel. Prices and profits likely 
peaked in the 1983/84 marketing year followed by another cyclical decline as hog 
production increases in 1985 and 1986. 
Paul Hasbargen and Richard Hawkins 
Extension Economists 
Erlin Weness 
Dept. of Agricultural & Applied Economics 
Area Extension Agent 
Southwestern Minnesota 
Agricultural Extension Service 
UNIVERSITY OF MINNESOTA 
St. P.oul, Minnesota 55108 
Jerry Hawton 
Extension Animal Husbandman 
Department of Animal Science 
The University of Minnesota, including the Agricultural Extension Service, is committed to the policy that all persons shall have equal access to its 
programs, facilities, and employment without regard to race, creed, color, sex, national origin, or handicap. 

COMPLETE HOG PROGRAM - ONE 
Value Produced 
7.3 pigs - 225/I @ $52/cwt 
.3 sows - 450/I @ $43/cwt 
Total (1,778 pounds) 
Feed Reguirements And Costs 
Corn @ $2.65/bu 105 
Suppl. @ $13/cwt 1,267 
Total Feed 
Operating Costs 
Hired labor 
Marketing and hauling 
Breeding 
Veterinary and medicine 
Electricity and fuel 
bu 
lbs 
Tractor and equipment repair 
Insurance and supplies 
Interest on livestock 
Interest on operating capital 
Total Operating 
Total Feed And Operating 
Per 
Litter* 
$854 
58 
$912 
$252 
165 
$417 
$ 10 
15 
4 
17 
35 
23 
25 
18 
18 
$165 
$582 
LITTER 
For 1985 
330 lbs 
70 lbs 
400 lbs 
TO MARKET 
Per 
Cwt 
$51.29 
$14.17 
9.28 
$23.45 
(225 POUNDS)* 
@ $49 
@ $38 
@ $2.65 
@ $15 
Long 
Per 
Litter 
$805 
51 
$856 
$278 
190 
$468 
$ 10 
15 
4 
17 
35 
23 
25 
20 
20 
$169 
$637 
Term 
Per 
~ 
$48 .14 
$15.63 
10.69 
$26.32 
$ .56 
.84 
.22 
• 96 
1.97 
1.29 
1.35 
1.12 
1.12 
$ 9.50 
$35.83 
Return For Labor And Facilities $330 $18.56 $219 $12.32 
* Under typical management, each sow and gilt kept will produce about 1.7 litters per year.~ 
Well managed, early weaning systems can produce 2 litters per sow per year. 
Use 
Farrow-Finish 
Farrowing 
Gestation 
Nursery 
Finishing 
BUILDING COST ESTIMATES* 
Type Of Building 
All buildings, slotted floors 
Pasture A-frame huts 
Remodel dairy barn 
Partially slotted floor - crates 
Portable on pasture 
Open shelter & paved lot 
Enclosed - total slot 
Open shelter - drylot 
Enclosed - total slot 
Portable on pasture 
Open shelter - drylot 
Modified open front - partial slot 
Enclosed - total slot 
Unit Size 
100-200 sows 
16 huts 
16 sows 
20 sows 
16 sows 
16 sows 
32 sows 
200 weanlings 
200 weanlings 
100 market hogs 
200 market hogs 
200 market hogs 
200 market hogs 
Cost/Unit Capacity** 
$1,900 per sow 
$250 per hut 
$600 per crate 
$1,500 per crate 
$200 per sow 
$450 per sow 
$450 per sow 
$40 per pig 
$60 per pig 
$40 per hog 
$70 per hog 
$125 per hog 
$150 per hog 
*Note - additional investments will be required for manure handling equipment & fencing.~ 
** Investment costs will likely be lower in northern Minnesota; higher in southeastern 
Minnesota. They will also vary by the amount of labor supplied by the farmer. 
FEEDER PIG PRODUCTION - ONE LITTER TO MARKET AT 40 POUNDS 
~alue Produced 
7.8 pigs@ $42/head 
.2 sow - 450# @ $43/cwt 
Total 
Feed Requirements And Costs 
Corn @ $2.65/bu 
Suppl. @ $14/cwt 
Total Feed 
Operating Costs 
Marketing and hauling 
Breeding 
Veterinary and medicine 
Electricity and fuel 
Tractor and equipment repair 
Insurance and supplies 
Interest on livestock 
Interest on operating capital 
Total Operating 
Total Feed And Operating 
Return For Labor And Facilities 
Per 
Litter)~ 
$328 
39 
$367 
$ 80 
84 
$164 
$ 8 
3 
14 
15 
10 
18 
12 
6 
$ 86 
$250 
$117 
For 1985 
Per 
Pig Sold 
$42.05 
5.00 
$47.05 
$10.26 
10. 77 
$21.03 
$ 1.03 
.38 
1. 79 
1.92 
1.28 
2.31 
1.54 
. 77 
$11.02 
$32.05 
$15.00 
Long 
Per 
Litter 
$343 
34 
$377 
$ 80 
102 
$182 
$ 8 
3 
14 
15 
10 
18 
12 
6 
$ 86 
$268 
$109 
Term 
Per 
Pig Sold 
$44.00 
4.35 
$48.35 
$10.25 
13.08 
$23.33 
$ 1.03 
.38 
1. 79 
1.92 
1.28 
2.31 
1.54 
. 77 
$11. 02 
$34.36 
$14.00 
e* Typical management will produce about 1.75 litters per sow per year. If early weaning is 
practiced, 2 to 2.2 litters per sow per year can be produced. Average sow in feeder pig 
enterprise farrows 5 litters prior to culling. 
SPACE REQUIREMENT ESTIMATES* 
Total SEace Per Pig (sg. ft.)** 
Slotted Floors Solid Floors 
Weight of Pig (Eartial or total) (no slats) 
25 to 40 pounds 3 4 
41 to 100 pounds 4 6 
101 to 150 pounds 6 8 
151 to 230 pounds 8 11 
Sows 15 20 
* Jensen, et al., found these space requirements conducive to 
maximum gains. Somewhat less space would be more economical. 
** Free floor space, excluding space for feeders and waterers. 
FINISHING FEEDER PIGS - ONE PIG FROM 40 TO 235 POUNDS 
UNIVERSITY OF MINNESOTA 
Current Long Term 
Performance I llllll lllll lllll lllll lllll llllll llll lllll /llll lllll lllll lllll lllll lllll lllllll II llll 3 1951 003 292702 T Head Cwt. Gair-
Total gain, pounds 
Pounds feed per pound of gain 
Average daily gain, pounds 
Value Produced 
Sale value at $49 per cwt. 
Purchase cost at $45 per head 
Death loss (4%) 
Gross Margin 
Feed Requirements And Costs 
Corn - 10.51 bu. @ $2.65 
Prosup 40% - 1.23 cwt. @ $12.50 
(min., vit., antib. included in prot. sup.) 
Total Feed Cost 
Operating Costs 
Interest on animals (15%) 
Selling and buying costs 
Other operating costs 
Total Operating Costs 
Total Feed & Operating Costs 
Return For Labor And Facilities 
See the 
latest 
PIGFIN 
computer 
printout 
and/or 
tables at 
bottom of 
page. 
195.00 
3. 77 
1.62 
115 .15 
45.00 
1.87 
$68. 27 
$27.85 
15.37 
$43.22 
$2.31 
4.22 
6.00 
$12.53 
$55.75 
$12.52 
.96 
$35.o1 
$14.28 
7.88 
$22.16 
$1.19 
2.16 
3.08 
$6.43 
$28.59 
$6.42 
RETURN PER HEAD FOR LABOR AND FACILITIES AT DIFFERENT HOG PRICES (CORN AT $2.65/BU.) 
Selling Price When Purchase Cost Per Head Is: 
Per Cwt. $35.00 $40.00 $45.00 $50.00 $55.00 
$40.00 2.30 -3.17 -8.63 -14.10 -19.56 
43.00 9.35 3.88 -1.58 -7.05 -12.51 
46.00 16.40 10.93 5.47 .00 -5.46 
49.00 23 .45 17.98 12.52 7.05 1.59 
52.00 30.50 25.03 19.57 14 .10 8.64 
55.00 37. 55 32.08 26.62 21.15 15.69 
58.00 44.60 39.13 33.67 28.20 22.74 
BREAKEVEN SELLING PRICES TO COVER FEED, OPERATING & $12 RETURN FOR LABOR & FACILITIES 
Purchase Price When Corn Price Per Bushel Is: 
Per Head $2.15 $2.40 $2.65 $2.90 $3.15 
$30.00 $39.57 $40.69 $41.80 $42 .92 $44.04 
35.00 41.89 43.01 44 .13 45.25 46.37 
40.00 44.22 45.34 46.45 47.57 48.69 
45.00 46.54 47.66 48.78 49.90 51.02 
50.00 48.87 49.99 51 .11 52.22 53.34 
55.00 51.20 52.31 53.43 54.55 55.67 
60.00 53.52 54.64 55.76 56.88 57.99 
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