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Effect of Corn Price on Profitability of Control Vs Phytase Enhanced Diet of Hogs

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  • Atreya, Ajita
  • Vitale, Jeffrey D.
  • Stoecker, Arthur L.
  • Carter, Scott D.

Abstract

Economic Simulation model (SIMETAR) was used to investigate the effect of future corn price on profitability of control and phytase enhanced diet of hogs. The completed simulation model was used to estimate probability distribution for control vs lower excretion diet profitability under different corn prices. Data used was collected from recent field trials in Oklahoma that tested the effect of phytase enhanced diets on reducing phosphorus emission. The results showed that as the market price of corn increases control diet will be more profitable than phytase enhanced diet, given the cost of other remaining feed ingredient is constant for both the diets.

Suggested Citation

  • Atreya, Ajita & Vitale, Jeffrey D. & Stoecker, Arthur L. & Carter, Scott D., 2009. "Effect of Corn Price on Profitability of Control Vs Phytase Enhanced Diet of Hogs," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46864, Southern Agricultural Economics Association.
  • Handle: RePEc:ags:saeana:46864
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    File URL: http://purl.umn.edu/46864
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    References listed on IDEAS

    as
    1. Yap, Crystal & Foster, Ken & Preckel, Paul & Doering, Otto & Richert, Brian, 2004. "Mitigating the Compliance Cost of a Phosphorus-Based Swine Manure Management Policy," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 36(01), pages 23-34, April.
    2. Boland, Michael A. & Preckel, Paul V. & Foster, Kenneth A., 1998. "Economic Analysis Of Phosphorus - Reducing Technologies In Pork Production," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 23(02), December.
    3. Boland, Michael A. & Foster, Kenneth A. & Preckel, Paul V., 1999. "Nutrition and the Economics of Swine Management," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 31(01), pages 83-96, April.
    4. Hien, Victor & Kabore, Daniel & Youl, Sansan & Lowenberg-DeBoer, J., 1997. "Stochastic dominance analysis of on-farm-trial data: The riskiness of alternative phosphate sources in Burkina Faso," Agricultural Economics, Blackwell, vol. 15(3), pages 213-221, January.
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    Keywords

    profitability; SIMETAR; control diet; phytase enhanced diet; swine; Production Economics;

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