Target Pricing

Target Pricing allows you to choose a price at which you are prepared to forward contract your hogs to Manitoba Pork Marketing, over a certain time period.
The price that you select will be higher than the current forward price.
If the forward price should strengthen over the time period, Manitoba Pork Marketing will generate a Fixed Price Contract for you at your target price. The contract will then be mailed out to you.
Your target price should be based on past pricing information, your cost of production and your overall market outlook.

Actual Basis Contract (ABC)

A new and innovative service that provides producers with maximum flexibility while still offering price protection.
Producers have the flexibility to deliver hogs against an ABC over a one to two month window depending on the contract period.
A large delivery widow is made possible by taking hedges on both the dollar and the hog contracts, leaving producers exposed to changes in the basis.
The producer accepts basis risk in exchange for giving up price risk.
Producers still maintain broad coverage against price swings but are now able to take advantage of dynamic basis changes.
This program offers the sophisticated hedger the flexibility he/she desires with the potential to manage basis without tying up a lot of capital.

An Independent Supplier to the Independent Hog Producer:

Working with producers to provide accurate, timely and pertinent information with low prices and exceptional service.
Producers have access to expertise in soymeal and corn pricing to allow for better decision making.
In depth analysis of feed information that captures both market timing and long term trends in feed grains are also available.
Competitive prices published to maintain market integrity and better service to our customers.
By allowing producers to hedge both feed and hogs we give them the capability to control their margins.

For Additional information on Risk Management, please contact our Forward Contracting Department to talk to one of our Ag Merchandisers:

Tyler Fulton	Director of Risk Management	793-2294
Kerensa Voth	Ag. Merchandiser/Hogs and Feed	235-2237
Fax Number: (204) 233-5219