Corn-Hog Relationship Good for Corn Farmers

Increased export demand for U.S. pork is raising pork profitability and leading to an overall rise in the national hog inventory. This is good news for the National Corn Growers Association. NCGA says this growth will translate into stronger demand for corn and distillers dried grains.

NCGA President Garry Niemeyer says corn farmers value our relationship with the hog industry, which consistently provides an important market for our product. In the 2011-12 marketing year, it is estimated that hogs will consume 960 million bushels of corn. As demand grows for pork both internationally and domestically, corn farmers benefit also thus reinforcing the importance of cooperation among all sectors in the agricultural community.

The overall increases in pork production, export and in domestic demand have not only resulted in a rise in demand for corn, but also in demand for distillers dried grains, an ethanol co-product. Hog sector interest in and demand for DDGs increased steadily over the past few years to take advantage of the quality protein option that it offers at a low cost.