Swine Finishing Feed Costs Expected to Rise by 10% in 2027
The rising corn futures prices are expected to increase swine finishing feed costs by nearly 10% in 2027 compared to 2026 levels, according to a recent analysis. As of early September, the average price for corn futures for the December 2026 contract was $5.33 per bushel at the 50th percentile and $5.70 per bushel at the 75th percentile. This surge in expected corn prices will likely translate into higher feed costs later this year and early next year.
The swine finishing enterprise is a key component of the pork industry, representing the final stage of pig production before slaughter. The rations for this enterprise consist of corn, soybean meal, dry distillers' grain, and supplements. The analysis used historical price data from 2007 to August 2026 to project feed cost indices through 2027.
The projected feed cost index for 2026 is 103.8, while the average feed cost index for 2027 is expected to be 113.9, representing a 9.7% increase from 2026 levels. The sensitivity of feed costs to changes in corn prices was also examined using regression analysis, which showed that each $0.10 per bushel increase in corn prices increases feed cost per cwt by $0.43.