January 9, 2014

 

Smithfield on track in converting to group housing for pregnant sows

 

 

Smithfield Foods, Inc. and its hog production subsidiary, Murphy-Brown LLC, are asking its contract sow producers to convert to group housing systems for pregnant sows by 2022, with conversion of its US company-owned farms having crossed the halfway mark at end 2013.

 

The company said a sliding scale of incentives is put in place to accelerate that timetable to ensure conversion by 2022. Growers who commit to convert to group housing will receive contract extensions upon completion of the conversion.

 

Smithfield Foods reported that Murphy-Brown had, through the end of 2013, transitioned 54% of pregnant sows on its company-owned farms in the United States to group housing systems.

 

The announcement supports the company's industry-leading effort that began in 2007 when it was the first major pork supplier to commit to transitioning to group housing systems on company-owned farms.

 

In 2007, Smithfield made a business decision based on input from its customers to convert to group housing for pregnant sows on all company-owned US farms. Smithfield remains on track to finish its conversion to group housing systems on all company-owned US farms by 2017.

 

Smithfield's international hog production operations will complete their conversions from gestation stalls to group housing systems on company-owned farms by 2022. The company's hog production operations in Poland (AgriPlus) and Romania (Smithfield Ferme) completed their conversions to group housing facilities a number of years ago.

 

"More and more food companies are looking to suppliers to move toward group housing systems for pregnant sows," said Dennis H. Treacy, executive vice president and chief sustainability officer of Smithfield Foods. "To date, more than 50 companies-many of them Smithfield customers-have announced that they will source pork in the future from suppliers utilising group housing."

 

Treacy added, "In line with our animal care initiatives and sustainability goals, and in order to meet the needs of our customers, we believe that it is now time to encourage conversion of pregnant sow housing systems at contract sow grower facilities. In fact, several growers have already converted or have made plans for the change." Smithfield notified their contract sow growers nationwide of this recommendation last month.

 

Treacy emphasised that although the conversion of contract sow growers' facilities to group housing systems is being encouraged, it is not mandatory. If growers choose not to participate, their current contracts with Murphy-Brown will remain unchanged, although extensions are less likely.

 

C. Larry Pope, president and chief executive officer of Smithfield Foods, says, "We recognise that these projects require a significant investment on the part of our growers". "But a well-planned renovation to a group housing system will help maintain the farms' value for years to come, while at the same time supporting our company-wide commitment to animal care."

 

Smithfield Foods is a $13 billion global food company and the world's largest pork processor and hog producer. It was acquired by China's Shuanghui International Holdings Ltd in September 2013.