Swine

Effect of Feed Cost on the Economic Impact of PRRS

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Abstract

Economic impacts based on PRRS associated losses as reported in a previous study were modeled with varying grain prices. Sensitivity tables show that as grain (feed) prices rise, the economic impact of disease events increases. As corn prices rise from $2.25/bu up to $5.00/bu, there is a $92.6 million increase in the cost of PRRS to US pork producers. Every $0.50/bu increase in corn price costs the pork industry $18.52 million in PRRS associated losses. In the PRRS-affected farm, for every $0.50/bu increase, the cost per litter increases $0.886, the cost per nursery pig increases $0.072/hd and the cost per finisher pig increases $0.405/hd. With corn at $2.50 to $5.00/bu the national impact is estimated at $594.19 to $686.77 million annually, or $5.94 to $6.87/hd marketed in the US. As feed prices rise, the value of improved health care also rises. As costs rise, it is imperative to continue efforts on disease control and prevention.

Keywords: ASL R2364

How to Cite:

Johnson, C. D., Kliebenstein, J. B., Zimmerman, J. J. & Ellis, S., (2008) “Effect of Feed Cost on the Economic Impact of PRRS”, Iowa State University Animal Industry Report 5(1). doi: https://doi.org/10.31274/ans_air-180814-877