5 questions for Stefan Derks

'Holland Pig with high health prospects'

10 October 2017 - Wouter Baan

Stefan Derks, director at KLASSE, has been tried and tested in the pig sector. He traveled all over the world for the sale of genetics and saw how other countries organize their production. Derks says a high health status is the key to success.

What is CLASS, what do you do and where are the sales?
"KLASSE Ki was founded in 1999 and supplies pig genetics in 20 countries. The Netherlands and Belgium are our home markets, but sales to Germany are also very important. We also do business in Russia, Colombia and the Philippines. In mid-2017, CLASS Ki will have such n 320 Duroc and Piétrain terminal boars and 160 breeding boars. We have Ki stables in Brabant and spread over Belgium. KLASSE does everything to exclude the risks associated with the introduction of disease. That is why we have stables in Wallonia and on the coast of the North Sea van Belgium and its 3 semen collection stations equipped with air filters and overpressure ventilation. We distinguish ourselves with more than 15 years of experience with SPF health with our customers."

Many piglets that grow quickly 

What are the trends in the genetics world?
"
The focus of pig breeding is on breeding as many pigs as possible per sow. Numbers have become increasingly important. Breeding many piglets, which grow up very quickly, are most important for a pig farmer. Pig genetics suppliers have seen rapid consolidation over the past 10 years. In the 90s there were still 20 genetics suppliers in the Netherlands, now there are still 2 important suppliers of sows. This trend is the same in the poultry sector, 2 suppliers of laying hens and broilers determine the international breeding landscape. Huge progress is being made and it will not stop in 2017. We foresee an increase of 0,8 piglets produced per sow per year over the next 5 years.”

Is genetics still dominated by the lowest cost price, or is the demand for value creation shifting?
"With a better health status, the Dutch pig sector can make a difference. That is why I see a future in the Netherlands, because countries such as Spain, France and Poland cannot match our companies. There is a threat of several animal diseases in Poland, such as African swine fever. Spain Denmark has the highest number of piglets per sow per year, but Danish pig farmers are unable to grow any further, as many pig farms have faced financing problems due to falling land prices. The Netherlands also has specialism, has better trained employees and has a lot of knowledge and competition in the periphery, which is good for transferring knowledge and performance to the farm."

"There is enough space in the Netherlands for concepts, but to a limited extent. This is because of the total supply. A concept must demonstrably distinguish itself and the demand must be leading, otherwise it has no future. I see little in pigs with free range , the Netherlands is too small for that and the hygiene risks are too great. I believe in the Holland Pig with a high health status, with which we enter the world market. For piglets with a high health status, sales are guaranteed. If we aim for more than 35 piglets per sow per year, with the better DanAvl genetics, our cost price is also not out of line and our pig farmers will be able to withstand another price drop."

Genetics can reduce the risk of stinkers 

What is the Holland Pig in your eyes? Could this also be a bear?
"The Holland Pig is a piglet for the German or Italian market, a carcass or part thereof that is in demand in Europe, but also has its sales in Japan or China. The chance of stinkers can be reduced with genetics. with terminal boars, which are sexually mature late and whose offspring grow rapidly.These animals are slaughtered at a younger age and therefore exhibit less boar taint. Complete exclusion of boar taint with the available genetic lines is not possible and a reduction of 40% is not enough. The consumer does not tolerate stinkers. We need a '100% solution' to completely stop castration."

You have been to China many times. What plans do pig farmers have there, and will China's pork imports remain intact?
"China has the superlative in everything. It is by far the largest pig country in the world, both in production and consumption. The increased demand for pork has not come out of the blue. It is a result of the reduction of the so-called 'backyard farms' "This is to reduce the spread of pig diseases. The larger Chinese pig farms have ambitious plans. Therefore, it is certain that production in China will increase further. However, Chinese consumption is also growing rapidly. The extent of pork imports by China from the Netherlands is depending on the demand that the Netherlands creates itself. We can stimulate that demand with the 'Holland Pig'. Meat quality will become even more important here, because the Chinese love tasty meat from the best Duroc pig."

This article is from the recently published 'Pig Market, the Analysis 2017'. Click here to receive the magazine for free.

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Wouter Job

Wouter Baan is Head of Meat & Dairy at BoerenbusinessAt DCA Market Intelligence, he focuses on dairy, pork, and meat markets. He also monitors (business) developments within agribusiness and interviews CEOs and policymakers.

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