Costs and competitiveness in swine training farms in two communities in Mexico

Abstract

ABSTRACT Objective: To determine the profitability and competitiveness of backyard or family farms in the municipalities of Tejupilco and Luvianos, Mexico. Methodology: The research was carried out in 2019, in the South of the State of Mexico, and was based on information from backyard pig farmers in the municipalities of Tejupilco and Luvianos. The Policy Analysis Matrix was the method used, with which the technical coefficient matrices were prepared and with the prices of the inputs and the product, the private budget matrix was obtained. Results: Private returns were 36% in both municipalities, while private cost ratios were 0.35 in Luvianos and 0.39 in Tejupilco, so greater competitiveness was observed in the first municipality. Implications of study: The results of this research are based solely on the analysis of family backyard farms, in which the majority is dedicated to fattening pigs, most of them operating, between 60% and 75 %% of its installed capacity. Conclusion: The indicators obtained in 2018 occurred in a context in which the nominal and constant prices of standing pigs evolved favorably for pig farmers, while the constant prices of the main inputs used in feeding the farmed and fattening farms declined significantly, making backyard farms profitable and competitive.