The economics of quality protein maize as an animal feed: Case studies of Brazil and El Salvador
1992
Lopez Pereira, M.A. (Centro Internacional de Mejoramiento de Maiz y Trigo, Mexico, DF (Mexico). Economics Program)
This study examines the potential of quality protein maize (QPM) as an animal feed ingredient in Brazil and El Salvador. The minimum ingredient cost of pig and chicken feed with and without QPM and the optimal level of the main ingredients in the rations are obtained using linear programming models and compared for both cases. Sensitivity analysis is performed on relative prices of soybean meal (the main protein source), regular maize and sorghum (the main energy sources), synthetic lysine (the main amino acid supplement), and QPM. Model results indicate that QPM has the potential to reduce the production cost of pig feed by as much as 5.0 per cent in Brazil and 3.4 per cent in El Salvador. Chicken feed cost savings of QPM are as high as 2.9 per cent in Brazil and 2.8 per cent in El Salvador. In both countries savings at the industry level depend on the size and technological sophistication of the pig industry and on the prices of the feed ingredients with which QPM competes. Future research and agricultural policy should emphasize means of distinguishing QPM from regular maize, improvement of QPM's storability, and promotion of QPM varieties already available
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