AgFeed Industries, Inc., one of the largest independent pig production and animal feed companies in China, has agreed to invest in a hog production project in conjunction with Xinyu City in Jiangxi province.
The two-year project encompasses the building of 5 western model pig farms, totalling 25,000 sows.
The initial phase of the project will include an investment of $18 million to build two 5,000 head sow farms, one 200 head boar stud farm and one 2,600 head multiplier facility.
Upon completion the first phase of this complex shall have an annual pig production capacity approaching 230,000.
Construction for the initial phase will begin in May 2010, with the goal of completing the second phase during 2012. The Xinyu complex will have annual production capacity of up to 600,000 pigs.
The project is similar to AgFeed’s project in DaHua, Guangxi Province, where construction began in November 2009. Together the Xinyu and DaHua complexes will have the capacity to produce over 800,000 pigs per year.
Feed mill operations
Gerry Daignault, Chief Operating Officer, commented, "Our joint venture partner M2P2 will direct the process of designing and building the facilities in Xinyu, just as they are currently doing in DaHua.
“Our feed division will be building new feed mills in these cities in order to supply our new centers of hog production.
“As part of the development of these new feed mills we will also introduce western style bulk delivery of our complete hog feed, a first of its kind in China."