Managerial and Technical Considerations on Hog Production Costs

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  • MURATA Tomio
    Laboratory of Farm Management, Nippon Veterinary and Zootechnical College

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  • 肥育豚生産の費用構造に関する経営技術的研究
  • ヒイク ブタ セイサン ノ ヒヨウ コウゾウ ニ カンスル ケイエイ ギジュツテキ ケンキュウ

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Abstract

The scale of hog-farm in Japan is increasing promptly by equipmental progress and new labor-saving methods. Proper selection of the farm size seems to be the most important factor in successful hog-farm management. If the increase of net return is the sole objective, there would be no way to define the optimum size of the business. However, there must exist an optimal size of the hog-farm if it is calculated on the other basis. First, to analyze the character of the cost of hog production, the cost items were classified into four categories, i. e., (1) diminishing and then progressive cost, (2) diminishing cost, (3) progressive and then diminishing cost and (4) unfixed cost. This enabled the author to calculate the relationships between the short-run average market hog production cost and the size of hog enterprise. The results indicated that the lowest cost can be obtained when 318 hogs per farm were produced, while the highest net profit was obtained by 579 market hogs per farm in the period of 1972.

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