Changes in the Cost Structure of Hogs Feeding in the Czech Republic

Modern hog breeding has a long tradition in the Czech Republic it is the stable branch of livestock production. Its main task is to produce high quality pork meat, which must meet all requirements of the processors and the final consumer. Pork meat occupies for decades in Czech Republic first place in consumption per one inhabitant (per year) and it forms more than 50% of the total annual meat consumption. This branch also plays an important role for producers of cereals, which largely contributes to the overall size and stability of the agricultural sector. The increasing imports were the main reason why many Czech hog breeding farms has been reduced or completely eliminated. Reducing numbers of pigs in the last decade is a reflection of supply and demand for pigs. The objecvive of this paper is to evaluate the changes in the cost structure for fattening of hogs and indicate how these changes are reflected in the competitiveness of Czech agriculture enterprises. Choice of optimal strategy of breeding and hog feeding already affects not only the requirements of food security, requirements of quality and affordability. Currently are also very important requirements for animal welfare and environmental protection with an emphasis on the sustainability of production and high hygiene standards. These measures require high investmens and operational costs are reflected in the worsening economy of pork meat production.