02—Lancaster Farming, Saturday, August 4,1984 Poultrymen asked to comment HARRISBURG - Of interest to all Pennsylvania poultrymen is House Bill 2035, designed to insure prompt payment for poultry products. The following is the complete text of that bill. In an effort to insure that producers are protected without jeopardizing their competitive position with surrounding states not having such a law, the Penn sylvania Poultry Federation is seeking comments from producers. Call PPF headquarters collect if you have something to say: 717-652-7530. HOUSE BILL NO. 2035 Introduced by Broujos, Noye, Cole, Cordisco, Cappabianca, Battisto, Scheetz, Wass, G.M. Snyder, Godshall, Showers, Baldwin, DeVerter, Belfanti, Rudy, Coy, Gallagher, Lloyd, Preston, Dawida, Duffy, McCall, A.C. Foster, Jr., Morris, Fargo, Rudy, and Greenwood, March, 1984. AN ACT Providing for the provisions of poultry and egg contracts; and imposing civil penalties. The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows: Section 1. Findings and purpose. The General Assembly hereby finds: (1) That the poultry and egg industries in Pennsylvania are vital to the health and welfare of all Pennsylvanians. (2) That all segments of these industries, including farmers, brokers, processors, and retailers, LIVESTO LATEST Polled Hereford Show results DES MOINES, la. Two young Polled Hereford enthusiasts from Oklahoma swept the cham pionships at the 11th National Junior Polled Hereford Show in Des Moines, lowa, July 22-26. Ten-year-old Eindy Willoughby of Ada, Okla., came out as the top winner at the show when her heifer claimed the grand champion title. T Ms New Force, Rindy’s February 1983 daughter of Superior Sire Enforcer 107 H, won the purple banner. Earlier in the day she had been named the Division IV champion. AE Tiffany, the reserve champ in Division IV, stepped up the championship ladder to capture the reserve grand champion honors. She was exhibited by 13- year-old Matt Sims of Elgin, Okla. The sire of this January 1963 heifers was EPH Lethal 67K S 2. Three nationally prominent cattle authorities Dr. Doug Parrett of the University of Illinois, Urbana; Larry Cotton of Premier Beef Cattle, Howell, Mich.; and Jackie Davis of Napa Valley Polled Herefords, Napa, Calif., evaluated the 366-head competition. In the runoff for the coveted bred-and-owned heifer trophy, Walt McKellar of Senatobia, Miss., emerged as the winner with CMR Miss 445 M. This July 1983 daughter of BT CL Domino 445 M was also named the reserve champ in Division I of the heifer show. The reserve bred-end-owned heifer need to be financially secure in order for the industry to benefit the citizens of this Commonwealth. (3) That, at present, poultry and egg farmers often do business without having any guarantee of payment. (4) That if poultry and egg farmers are not financially secure, these industries would collapse, thereby threatening the jobs, health and welfare of thousands of Pennsylvanians. Section 2. Definitions. The following words and phrases when used in this act shall have the meanings given to them in this section unless the context clearly indicates otherwise: “Grower.” A person who provides physical facilities for housing and labor for raising poultry, whether or not he provides additional services incidental to the raising of poultry. “Merchant.” A person who buys poultry in wholesale quantities within this Commonwealth, in cluding, but not limited to, pur chases on commission, purchases by a dealer or purchases by a broker. “Person.” Any individual, partnership, sole proprietorship, corporation or entity. “Poultry.” All types of chickens, whether raised to be sold as layers or for processing, chicken eggs, ducks, geese, turkeys and all game birds raised for processing. “Poultry contract.” Any agreement, either oral or written, between a grower and a merchant relating to the raising of poultry by title was presented to Amy Cox, Ozark, Mo., on AC Miss Dancer 409. She is a May 1983 heifer by Wild Cat Sundance 7K. Kent Tjardes of Gibson City, 111., nabbed the purple banner in the bred-and-owned cow-calf division. His top pair included TJ Victoria 064 251, a 2-year-old EDR Bobs Banner daughter, and her April bull calf by WW 11M Lucky Charme 63P. The reserve cham pion cow-calf pair was Suzy Stick, sired by Stlbrk Gilead 67K, and her March heifer calf by 61st National Champion Sterling. Jason Kuhlmann of North Platte, Neb., showed this pair. Last year, Suzy Stick and her 1983 calf also earned the reserve cow-calf honors at the 10th National Junior Polled Hereford Show. In other divisional heifer com petition, Brian Klippenstein of Maysville, Mo., won the Division 111 championship on GK Free Spirit 3223. She is by Klondike Banner 469 L. The Division HI reserve champion title went to New York exhibitor Greg Billing of Little Falls. His winner was ASB Mis K Bo 3101, sired by Beartooth Kona 484 N. Another Kona daughter, Ms Bambi Kona 58DJ, was selected as the champion of Division n. Her owner is James Almy of Georgetown, 111. The Division II reserve championship also went to an Illinois junior, Kim Schiffbauer of Tonica. Her entry was KF Lady Di6o9, by WSF PRL Justa Banner. the grower. Section 3. Time for payment. Unless otherwise agreed to by the parties involved, all sums due to a grower by a merchant under a poultry contract shall be paid to the grower within 14 days of the date on which the grower delivers the poultry to the merchant. Section 4. Interest on late payments. Beginning on the Isth day after the date of delivery, the merchant shall be liable to the grower for interest on the unpaid balance. Unless otherwise agreed to by the parties involved, the interest is to be simple interest at the fate published by the Secretary of Revenue pursuant to section 806 of the act of April 9, 1929, (P.L. 343, no. 176), known as The Fiscal Code. Section 5. Mortgages or other security given by growers to merchants. Unless otherwise agreed to by the parties involved, a mortgage or other security given by a grower, as mortgagin' or obligor, to a merchant or his assignee of designee, as mortgagee or obligee, shall be satisfied by the merchant upon either of the following con ditions: (i) the delivery of the grown flock of birds to the mer chant by the grower; or (ii) the making of a declaration of default by a grower under section 6. Such a mortgage or other security shall not be deemed to be a continuing obligation, but shall cease and determine when either of the (Turn to Page D 4) The final division winner was Ramsey Enforcer Lass, shown by Ryan Ramsey, Greenfield, Ind. She is a July Enforcer daughter. Patrick Wertz of Deßidder, La., exhibited two heifer class winners, with the combination earning him the premier exhibitor award. Both of his class-winning heifers were bred by Jack and Barbara Simp son of JBS Polled Herefords, Hillsboro, Texas, who were named the premier breeder of the show. Throughout the week, the National Junior Polled Hereford Council took an active role in organizing activities and running the show. The Council is composed of 12 representatives of the 36 state junior Polled Hereford associations. Their new officers elected during the week were Chairman Tom Kiritsis 11, Mooresville, Ind.; Vice Chairman Kurt Jennings, Rogers, Ark.; Secretary Tim Roberts, Arcadia, Okla.; and Reporter Bill Goehring, Libertyville, lowa. Another highlight of the week was the selection of individual and team showmanship winners. Topping the senior category was Mark Penn of Canton, Miss., followed closely by reserve senior showmanship winner Kim Schiffbauer. Other forum activities included a judging contest, a fun rodeo and a scrapbook contest. The exhibitors wound up the week with a steak fry followed by their awards banquet and a junior dance. Marketing Feeder Pigs That now-famous slogan “Where’s the Beef” has been used by almost everyone and everything, ad nauseum. But it’s a perfect example of successful marketing. In the hog industry, the National Pork Producers Council continues its efforts in marketing pork. It takes determination, and time and money. Unfortunately, most hog producers make only limited at tempts at improving their own marketing practices. They work the calculators and push the pencils before buying. They tighten the belt till their eyes bulge to hold down the costs of produc tion. But they seldom make a solid thrust to get the most for what they’ve got. There’s a lot you can do to get more for your hogs or feeder pigs. Some important questions to consider where and how should I sell, when should I sell, and what quality should I strive for? Let’s start with a look at feeder pig production. When to Sell Feeder Pigs Most producers market feeder pigs in the 40 to 60-pound weight range. Pen space, level of production and time limitations usually play the biggest role in deciding when to send pigs down the road. For example, when there are pigs ready to be weaned and the nursery’s already full, you’ve got to sell some pigs. Just as when Mother Nature says it’s time to plant corn you plant corn. But if you have the flexibility, use it to your advantage. Let’s say you normally sell pigs when they reach 45 pounds. A lot of folks will sell at light weights, because heavier pigs bring a lower price per pound. But you should be watching the markets constantly. At this writing 45 pounders are selling for about $1 a pound, or $45 per head. Fifty-five pounders are bringing a little less about $.95 a pound or $52.25 per head. What will it cost you to put on that extra ten pounds? At least another 25 pounds of feed and at $.15 per pound, that’s $3.75. A rough estimation of overhead costs (labor, building expense, fuel, etc.) would be $.20 per head per day. Since it will take about eight days to put on this 10 pounds, that’s another $1.60. So altogether it’s going to cost you about $5.35 to grow about pig from 45 to 55 pounds. Using these figures, you could make an extra $1.90 per head by selling the pigs at 55 pounds in stead of 45 pounds. If your feed costs or overhead costs are less, you could realize an even greater margin. Sell Now 45 lbs. @ $l.OO = $45.00 Sell Later 55 lbs. @5.95 = $52.25 Feed Overhead Total One problem is that it’s sometimes hard to predict the market spread between lighter and heavier pigs. But if you have the facilities, it’s generally more profitable to sell at 55 to 60 pounds, than in the 40 to 45 pound range. Where to Sell Feeder Pigs Selling direct to the buyer probably creates the least aggravation for you and is cer tainly a whole lot easier on the pigs. How should you establish the price for pigs that are marketed directly? Reach an understanding with the buyer. If he comes to your door to get the pigs, then he stands the trucking expense and he pays for the labor and the shrink. If you have to deliver, a trucking fee is customary. Either way the finisher is getting pigs free of sale barn stress. That may not be worth a big premium. But if your pigs do well, it certainly deserves a top-of-the market price. If you sell through the auction, you have to decide which one. Some markets, at times, will command better prices than others. It’s a temptation to go after these markets even when it requires some added travel. Let’s say you can get $1 a pound for a 50-pound pig at sale bam A. It’s 50 miles away and they charge $1.25 per head commission. You haul-pigs there in a truck and trailer that costs $.50/mile to operate. (That’s a $.83 per head.) You use hours of your time, worth, ‘we’ll say, $8 an hour. (That’s a $.33 per head.) After deducting those expenses, you’re «howing $47.59 per head on the bottom line. At sale bam B you can get $1.05 per pound or a gross price of $52.30 for a 50-pound pig. But this sale barn is 200 miles away, so your trucking allowance is now $3.33 per head. And they charge $1.75 for commission. You spend 8 hours getting there and back which comes to $1.06 per pig. And don’t forget, the pig is on the truck three hours longer. Research shows feeder pigs will lose .33 percent of their weight per hour without feed and water. At $1.05 per pound, that lost weight will cost you another $.52 per head. All things considered, your price per pig seems to $45.84 $1.75 less than sale bam A. Not much of a bargain. Using these figures you’d need a premium of $B/cwt at the distant sale bam, just to break even on the trip. Feeder Pig Quality Conformation and muscling will affect the value of the feeder pig. But for the man who takes that pig home, health is the most important quality factor. As a feeder pig producer, you need to strive for both healthy pigs to maintain buyer demand, and meaty hogs to maintain consumer demand. -3.75 -1.60 In summary, it can make a big difference where and when you sell your pigs. If you have more than one marketing alternative, figure your costs and use them to determine the best choice. $46.90