By Andi Anderson
Michigan State University Extension has released a new educational resource titled Bulletin E-3506: Models for Raising Pigs for Pork, designed to help individuals evaluate two common business models in pork production. The bulletin compares contract finishing and independent ownership, offering insight into the differences in costs, revenue, and responsibilities.
The key distinction between the two models lies in pig ownership. Contract finishers raise pigs owned by another entity, usually a breeder, while independent finishers purchase pigs themselves—often through auctions—and assume full ownership and risk throughout the production cycle.
This publication assumes both types of growers aim to raise pigs from weaning to market weight, allowing for fair comparisons in expenses and income. It outlines not only the initial costs but also additional operational expenses involved in each model.
The goal is to guide aspiring pig farmers in selecting the most suitable model based on their resources and risk tolerance.
The bulletin was developed collaboratively by Penn State University Extension and MSU Extension through funding from a 2024 National Pork Board grant. It is part of the DEMaND Series (Developing and Educating Managers and New Decision-makers), which helps new and transitioning farmers strengthen their financial and management skills.
The DEMaND Series offers various educational tools, including bulletins, webinars, and articles, all focused on empowering the next generation of farm operators.
Whether you’re new to farming, transitioning from employee to owner, or continuing a family operation, this bulletin provides a useful overview to support informed decision-making in pig farming.
The full bulletin and additional farm management resources can be downloaded from the DEMaND Series website.
Photo Credit: michigan-state-university-msu
Categories: Michigan, Education