LED bulbs can save money for poultry growers

Energy-saving bulbs can have attractive paybacks for poultry growers as long as you chose one that will hold up in a poultry house and you have the right kind of dimmer for the bulb. Dr. Brian Fairchild, professor, poultry science, University of Georgia, said that they first thing your poultry house lighting system must provide is uniformity. He told the audience of WATT Global Media’s first poultry grower webinar, "Broiler house nighttime ventilation & LED Lighting," sponsored by Choretime Inc., that you want to keep the variation in light intensity from one part of the house to any to less than 20 percent.
Fairchild said that while the price of the bulb is an important consideration, there are other factors that need to be considered, and the least expensive bulb may not be the best choice. Lumen output, the amount of light the bulb generates, is obviously important, but lumen depreciation, the amount of light output that is lost over time, is also an important consideration. He said that some bulbs can lose as much as 20 percent of their output after a year of use. Lumen depreciation becomes really important for long-lived bulbs like LEDs, which can be rated for 30,000 to 50,000 hours, meaning as long as five years of service in a broiler house.
The spectrum of light emitted by a bulb can be a significant consideration for layers and breeders, but it isn’t much of a factor in the bulb selection for meat birds, according to Fairchild. A really significant factor for meat birds is the ability of the bulb to be dimmed and what type of dimmer should be used. He said that premature bulb failure can result from using the wrong kind of dimmer.
Incandescent bulbs are easy to dim, but waste a lot of energy. Cold cathode can be dimmed, but Fairchild said that he would only recommend them for operations that want really low light intensity from bulbs when they are dimmed. Compact fluorescent (CFL) bulbs don’t tend to work well with dimmers, he said, as dimming can result in high rates of failure for these bulbs.
LED bulbs can be a good choice for your broiler house if they are compatible with your dimmer or you buy a dimmer that will work with them, according to Fairchild. It doesn’t take long for the bulbs and a new dimmer to pay for themselves. A broiler house with incandescent lighting will have 30 to 40 percent of its electrical use going into lighting. LED bulbs can cut electrical use for lighting by two-thirds or more.
LEDs are still relatively expensive, but the prices keep coming down.
Looking for more? View these videos Managing the heat generated by poultry in your barns and Factors to consider in poultry house lighting decisions.

Mar-Jac seeks growers to support expansion in Alabama

Mar-Jac Poultry LLC is seeking more poultry growers as it expands its operations in northwest Alabama.
The company in April revealed that it is investing $50 million in the expansion project. That includes a $25 million investment in a new feed mill in Spruce Pine, a $10 million expansion at its poultry processing plant in Jasper, Alabama, and a $7 million expansion at its hatchery in Moulton, Alabama.
 According to a report from the Times Daily, the company will need about 130 new broiler, pullet and hen houses in the area to accommodate its growth plans.
A public informational meeting will be held on June 23 for farmers who might be interested in growing birds for Mar-Jac Poultry LLC. Company officials will be in attendance to discuss what their companies will be looking for. Officials from the USDA Natural Resource Conservation Service and the Alabama Department of Environmental Management will also be on hand. Bank representatives will also be in attendance to discuss lending options for farmers wishing to grow for the company.
Mar-Jac Holdings is the parent company to Mar-Jac Poultry LLC, which includes the company’s Alabama and Mississippi operations, and Mar-Jac Poultry Inc., which includes the company’s Georgia operations. The 17th largest broiler company in the United States, according to the WATTAgNet Top Poultry Companies Database, Mar-Jac Holdings processes 225.16 million chickens annually.

Poultry growers seek Pilgrim’s contracts, relief on water fees

After being notified by Tyson Foods that their contracts would not be renewed, poultry growers in Alabama’s Limestone County are hoping to enter new contracts with Pilgrim’s. However, in order to become growers for Pilgrim’s, upgrades need to be made to their water lines, and along with those upgrades come hefty fees. 
Affected poultry grower Stan Usery and Aviagen global development director Randall Ennis have pleaded with the Limestone County Water and Sewer Authority Board of Directors for some relief from impact fees they will be expected to pay in order to upgrade the lines.
Larger water lines needed to secure contracts with Pilgrim’s
According to the News Courier, Pilgrim’s requires its contract growers to have 2-inch water pipes servicing their operations, which some producers do not have. The water and sewer authority’s policy requires that each grower be charged $62,010 in impact fees to go to the larger pipes. 
Surrounding municipalities have much lower fees, Usery told the board. However, board chairman Jim Moffatt said because of population growth in the county, the fees are necessary to pay for the expansion. He also said waiving or reducing the fees for some water users could be viewed as unfair by other water customers.
Aviagen makes case for lower water fees
Ennis told the authority board that Aviagen is also being adversely affected by high water usage fees in Limestone County. The company has an international poultry research facility in the county, which is proceeding with an expansion. “[Aviagen is] considering Northeast Mississippi and utilities are a big part of it,” said Ennis.
Since Pilgrim’s has demand for chickens that are larger than the ones grown for Tyson, more water would be needed to raise the larger birds, said Ennis, also the president of the Alabama Poultry and Egg Association.
“It looks like [large fees] would stifle the growth of the poultry industry in Limestone County,” Ennis told the board. “If Pilgrim’s Pride doesn’t pick up these contracts, there’s going to be some real expensive hay barns out there.”
Water authority may wait on increasing fees
Usery told the board that he would not be using any more water with the larger pipes, so it would not be more taxing to the county’s water system. Moffatt responded by asking Byron Cook, the authority’s general manager, to not increase poultry producers' fees now, but to wait to see if the growers do get picked up by Pilgrim’s and if their water demands go up.

Poultry grower Lois Alt prevails in lawsuit against EPA

A federal judge ruled on October 23 that the Environmental Protection Agency had no legal right to force West Virginia poultry grower Lois Alt to obtain water pollution permits for litter, dust and feathers that rain may wash away and that runoff is not in violation of the Clean Water Act. U.S. District Judge John Preston Bailey said the runoff is not a fixed pollution source and is exempt from the requirement to obtain permits.
The dispute between Alt and the EPA dates back to 2011, when the agency threatened to fine Alt if she didn't seek a permit for her farm, which it called a "concentrated animal feeding operation." The order said Alt would have to pay $37,500 in fines each time stormwater came into contact with dust, feathers or small amounts of manure outside of her poultry houses.
Alt responded by filing her own legal challenge to the agency in June 2012. The EPA eventually withdrew the fines, but with the help of the American Farm Bureau Federation and the West Virginia Farm Bureau, Alt kept her case alive.
The ruling has drawn applause from poultry and agriculture groups.
"We applaud Judge Bailey's decision to issue a summary judgment. We are pleased that Ms. Alt's legal uncertainty has been resolved in her favor by a common sense ruling that is consistent with a clear understanding of the Clean Water Act," said John Starkey, president of the U.S. Poultry & Egg Association.

Interest from poultry growers high for Sanderson Farms’ Palestine complex

In order for Sanderson Farms to keep up with the expectation of processing 1.25 million chickens weekly at its future big bird deboning complex in Palestine, Texas, it will need plenty of contract poultry growers. The company will have plenty of choices, with about 250 people expressing an interest, Sanderson Farms Chief Operating Officer Lampkin Butts said October 18 during the Sanderson Farms 2013 Investor Day.
"We'll need 496 broiler houses, 48 hen houses and eight pullet houses. The estimated annual contract payments for those growers will be $39.4 million, so we are in the process now of taking applications and meeting with potential growers," said Butts. "There's a lot of interest. We're very comfortable with the waiting list."
Sanderson Farms personnel will visit the potential growers and look at their land before deciding if they are an appropriate fit for Sanderson Farms. Pullet growers will be signed first, Butts said.
Sanderson Farms broke ground on its new complex on October 1, starting with the hatchery and feed mill. The 65,000-square-foot hatchery will be capable of hatching 1.3 million chicks per week. The feed mill, to measure 200 feet tall, will have the capacity of producing 16,000 tons of finished poultry feed per week.
The Palestine poultry complex's opening is scheduled for January 2015, although it will take between 12 and 15 months before the processing plant reaches its anticipated full-production levels of 2.5 million chickens per week.
For the complete project, Sanderson Farms will invest about $130 million, while contract producers will invest about $167.9 million to build the necessary broiler, hen and pullet houses. Butts expects the new poultry complex to create 1,200 new jobs with an estimated annual payroll of $28.4 million, and another $39.4 million will be paid in contract payments to growers.

Broiler company chairman takes leadership of Northwest Arkansas Council

Mark Simmons, chairman of Simmons Foods, has taken leadership of the Northwest Arkansas Council as its next presiding co-chair. Simmons, a resident of Siloam Springs, Ark., was a founding member of the Northwest Arkansas Council as he worked closely with Sam Walton, Alice Walton, Don Tyson, John Tyson and J.B. Hunt in the establishment of the organization in 1990.
Simmons at the organization's annual meeting announced that the Northwest Arkansas Council would work with partners to evaluate progress on the Greater Northwest Arkansas Development Strategy. The strategy is a five-year plan, unveiled in January 2011. The plan addresses such things as embracing the region's increasingly diverse population, improving schools and highways, developing a regional wayfinding system, increasing access to physical activity and healthy food, developing young leaders, ensuring that existing businesses are finding success, attracting the talent companies need to be successful, and marketing Northwest Arkansas to companies considering relocation and expansion. 

Ohio Poultry Association honors industry members

The Ohio Poultry Association honored its 2013 award recipients April 5 at the organization's annual banquet in Columbus, Ohio. These awards recognize businesses, farms and individuals who have made significant contributions to Ohio's egg, chicken and turkey sectors.
The Ohio Soybean Council was the selection for the Industry Partner Award. The Ohio Soybean Council mission is to maximize the profitability of Ohio's soybean checkoff funds in targeted domestic and international research, promotion and communication initiatives. The Ohio Soybean Council has worked with the Ohio Poultry Association on an array of projects to advance and grow Ohio agriculture for several years.
The Legacy Award was presented to Cooper Farms of Van Wert, Ohio.  Cooper Farms was founded in 1938 by Virgil Cooper who raised approximately 300 meat turkeys mainly for the holidays. Today, Cooper Farms produces 4.6 million turkeys, 32 million dozen eggs and 105 million pounds of live-market hogs per year.
The company employs more than 1,550 people at four locations and works with nearly 300 family contract farms who help raise Cooper Farms' turkeys, hogs and chickens.
The Ohio Poultry Association's Golden Feather award is given annually to an individual who has distinguished himself or herself as a champion of livestock agriculture or poultry issues. The award was presented to Dr. Mo Saif, of Wooster, Ohio. He is recognized internationally as a leading researcher in the field of poultry diseases.
He began his 50-year relationship and career with The Ohio State University in 1965 as a research assistant. Through the years, he has held various positions within the university as a post-doctorate fellow, an assistant professor, and most recently served as the head of the Ohio Agricultural Research and Development Center's Food Animal Health Research Program since 1993. Saif announced his retirement earlier this year.
The Golden Egg Award is given to an individual who has provided extraordinary service to Ohio's egg, chicken and turkey farmers. Connie Cahill, of Dublin, Ohio, received this year's award. She has been involved in consumer and agricultural initiatives for more than three decades, and, for many of those years, has represented the Ohio Poultry Association as a spokesperson.
The recipient of the 2013 Good Egg Award is Ralph Stonerock, of Marysville, Ohio.
Stonerock has worked in the poultry industry for more than 40 years. During this time he has held a variety of positions from managing a broiler complex and operating egg layer farms to marketing eggs and serving as a production superintendent for a feed manufacturing facility.

Zacky Farms selling poultry company assets to family trust

Zacky Farms, a vertically integrated poultry company, is selling all of its assets to the Robert D. Zacky and Lillian D. Zacky Family Trust. The company conducted a Chapter 11 auction for the assets and the family trust was the successful bidder.
As part of the transaction, the trust will retain substantially all of Zacky Farms employees, which amounts to more than 1,000 jobs. The auction results were announced at a hearing of the bankruptcy court on January 18.
The sale is subject to approval by the bankruptcy court at a final hearing scheduled for 2 p.m. on January 28. Terms of the financing require the sale to close by January 31.
"We are extremely pleased that the Zacky Trust was the successful bidder whereby the operations and jobs of Zacky Farms are preserved,” said Keith Cooper, chief restructuring officer of Zacky Farms. “Further, this result confirms the commitment of Lillian Zacky and Scott Zacky to the continued operation and turnaround of Zacky Farms.
“I would like to personally thank all of the employees, customers, growers and vendors who have stood by Zacky Farms over the past three and-a-half months and have supported Zacky Farms during this challenging process," said Cooper. "This is a great day for Zacky Farms and the Zacky family of employees because it is now possible for Sam and Bob Zacky's legacy to continue with the third and fourth generations of the Zacky Family dedicated to the future of this company.”
On October 8, 2012, Zacky Farms filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Eastern District of California in Sacramento, and has continued to operate as debtor in possession. 

Real March Madness: performance-based compensation in the chicken industry

The following is an opinion piece by Thomas Super, vice president of communications for the National Chicken Council   A tournament as defined by Merriam-Webster is a series of games or contests that make up a single unit of competition, the championship playoffs of a league or conference, or an invitational event.  Exactly what the NCAA Men’s Division I Basketball Championship is.  Exactly what the current growout structure of the U.S. broiler industry is not.    Under the current performance-based incentive structure, growers typically are compensated based on the quality of feed efficiency, low condemnations and the quantity of liveweight pounds delivered to the processing plant. This is not a “tournament” — it is a performance-based structure that aligns with fundamental free market principles to encourage efficiency and improve performance. Thus, two growers that produce the same “type and kind” of poultry might receive different compensation depending on their productivity and efficiency. Growers with more advanced facilities/processes and management skills will likely produce poultry more efficiently and of a higher quality. These growers are rewarded accordingly through greater compensation.  The current system has worked well for decades since the vertically integrated structure of the broiler industry was adopted. Tens of thousands of families on small farms who otherwise would have had to get out of agriculture altogether have been able to not just survive, but thrive. Most companies have waiting lists of people who want to become growers and lists of existing farmers who want to add capacity by building more growout houses. They understand raising chickens under contract can be rewarding while risks are more manageable. If all poultry growers of the same bird type must receive the same base pay, as some argue, farmers who made greater investments in their facilities and processes might not be compensated accordingly, ensuring that the best and most innovative growers are not rewarded for being so. Progressive growers who invested more of their time and resources in their housing or growers with new construction built at a greater cost than older houses would nonetheless get the same base pay as growers with older housing and growers who chose to devote their time and effort elsewhere. Although these growers could be compensated above the base pay rate, most, if not all, poultry dealers will be unlikely to provide premium compensation due to the administrative burdens and potential for litigation. This would likely result in a disincentive for innovation, modernization and upgrading of houses. In time, payment without regard to factors such as type or age of housing could result in lower quality, more expensive chickens and decreased food safety as a result of the lack of improvements. There would be a strong trend toward company-owned housing; a trend neither grower nor companies prefer.  This brings to mind another sports analogy. Say two players are vying for a new contract in Major League Baseball. Player A has invested in more off-season workouts, a new hitting coach and increased time watching game film, which resulted in a season hitting .314, with 25 homeruns and 100 runs batted in. Player B coasts through the off-season, is happy with the status quo and bats .269, with 10 homeruns and 60 runs batted in. Which player should receive the better contract?  There is, however, one similarity between the NCAA Tournament and the broiler industry’s performance based incentive system: they both allow viewers and consumers the opportunity to enjoy a consistent, high-quality product at a very favorable value. In a tournament like the NCAA’s, though, there is only one actual winner. In the performance-based incentive system of growing chickens, there are hundreds of millions of winners: consumers, at home and abroad.