September 22, 2006

 

US farm sentiments indicate worries of ethanol raising corn prices

 

 

While most Iowan hog farmers find feeding Distillers Dried Grains with Solubles (DDGS) to hogs a new concept, Steve Turnquist, a hog farmer in Buena Vista County in Iowa, has been doing so for the past three years.

 

DDGS is a by-product from ethanol production and with more ethanol plants competing with hog farmers for corn supplies, DDGS, which can be fed to hogs and cattle as well, are gaining attention in the industry.

 

Turnquist said using DDGS has worked out well for him. DDGS is implemented into rations when pigs reach 50 pounds, and is used through finishing. Rations are balanced by a nutritionist, and then feed is ground on the farm. DDGS comprises 10 percent of the total ration, he said.

 

While ethanol byproducts are excellent feedstuffs for ruminant animals like cattle, pigs are limited in the amount of dry distillers they can be fed.

 

Undesirable results occur when it makes up more than 20 percent of pigs feed, he said.

 

Pigs have difficulty digesting the higher amounts of fiber in dry distillers. DDGS are also deficient in some proteins, such as lysine.

 

The fact remains that even with DDGS at 20 percent of feed composition, hog farmers would still at least 60 percent of their feed comprising of corn.   

 

The pig has a unique need for corn, and in some areas of Missouri farmers have gone from a corn surplus to a corn deficit due to ethanol, Gary Allee, an animal scientist at the University of Missouri-Columbia said.

 

Farmers could soon face stiff competition from the ethanol industry, Allee said.

 

He urged ethanol plants to produce DDGS to be more hog-friendly. Suggestions include pre-treating the corn to remove the germ and hull, reducing fat and fibre content.

 

Iowa, the top corn producing state in the country, may come close to becoming a net importer in a few years if all the proposed ethanol plants come into production, Chad Hart, an agricultural economist at Iowa State University in Ames.

 

Furthermore, pigs do not seem to like the taste of dry distillers, reducing feed intake two to three weeks after being introduced to the ration.

 

The best solution? Grow your own corn. Turnquist says he grows enough corn to satisfy their operation's needs and is thus protected from higher corn prices.

 

Although he expects competition for corn to strengthen as more ethanol plants come on line, there has not been any elevators solely dedicating their corn to ethanol in his area. However, he noted as large plants find their way in, there may be a possibility that surrounding counties may not have enough corn to supply it, let alone hog farmers.