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DLG standard 'Sustainable Pig Farming'

The DLG standard promotes, documents and evaluates sustainable agriculture and offers farmers a practical, scientifically based tool for optimising their operations. The DLG standard 'Sustainable Pig Farming' was developed in this context and is specifically geared to the requirements and special aspects of pig farming. It is based on 23 indicators that enable a targeted, action-oriented assessment. A key advantage is its flexibility: It can be used in specialised fattening farms as well as in sow farming or mixed pig farms.

Sustainability is assessed on the basis of the GV (livestock unit) key according to KTBL (Board of Trustees for Technology and Construction in Agriculture), which takes into account the number of animals kept – from productive sows to weaned suckling pigs to rearing piglets and fattening pigs – as an annual average. Target ranges for each indicator help to present the sustainability status of a farm in a transparent and comprehensible way. On the basis of this assessment, the sustainability profile of a farm is categorised into three levels, which provides farmers with clear options for action to continuously improve their operations.

DLG standard sustainability criteria

Assessment

The assessment is carried out in the form of indicator-based grading from 1 to 6, whereby a grade of 4 is to be regarded as sustainable. Grade 5 represents a non-sustainable area; however, this can also occur due to ecological influences that are difficult to calculate. A grade of 5 must be compensated with a grade of 3 from the same sphere (ecology, social issues and economy), and an average grade of 4 is regarded as the sustainability threshold. A grade of 6 represents the lower limit of sustainability and reveals activities that are not legally compliant. The limit values are defined subject to consideration of current regulations and legal bases as well as good professional practice.

New expert findings, legal bases and current socio-political requirements are incorporated into the assessment criteria. The assessment is results-oriented. The sustainability profile is calculated based on the agricultural operation's real-life data.

Form of livestock farming

Pigs are kept in various forms of livestock farming, ranging from an intensive indoor system to free-range farming. In conventional indoor farming, pigs are usually kept in groups on slatted floors to maximise efficiency, while stricter requirements apply to space, manipulable material and light. Free-range and organic farming methods offer the animals more freedom of movement, access to outdoor areas and more species-appropriate feeding, but this comes at a higher cost. This results in a better scoring depending on the respective form of livestock farming on the farm.

Animal welfare

The animal welfare indicator measures the conditions under which the animals are kept, with a focus on their physical and mental well-being. Three key sub-indicators in the programme are the applied tail-docking waiver, which assesses the waiver of tail-docking in piglets; castration, which refers to the methods used in piglet castration; and sow restraint, which assesses whether and for how long sows are restrained in narrow stalls during birth and rearing. These indicators help to assess the level of animal welfare in agricultural practice.

Animal health/antibiotic monitoring

The animal health and the corresponding measures implemented to maintain it are analysed in the third indicator. In addition to the corresponding quantities used, these also include preventive measures and voluntary checks in the sense of monitoring all aspects of water supply and external climate checks. The animal health indicator is again divided into an equivalent division in the context of piglet production and pig fattening.

Greenhouse gas balancing

Pig farming is caught between the need to increase efficiency and the impact on the environment. Pig farming contributes significantly to climate change due to the use of fossil fuels for barn heating and the handling of slurry. Adapted management, such as optimised use of animal feed, reducing methane and nitrous oxide emissions from slurry or using low-emission barn systems, can help to reduce CO2 emissions and ease the burden on the climate in the long term.

Animal transport

When transporting animals and marketing pigs, both the transport distance in kilometres and the duration of the marketing relationship are measured. The distance travelled by the animals and the length of time for which stable business relations have existed are assessed in terms of the time between the sow herd and piglet rearing and between piglet rearing and fattening. These key figures help to reduce the impact of transport on animal welfare while increasing efficiency at the various production stages.

Animal feed

The animal feed used to produce animal products is one of the key aspects of the overall sustainability assessment. The production and use of the respective feed components are not insignificant in terms of the respective production of climate-damaging gases, making this consideration important. As part of this sustainability certification for pig farming, the factors of N/P-adjusted feeding and food competition are included in the assessment, in addition to the feed required for fattening and piglet production. Finally, the focus is on regionality and consequently on the origin of the necessary feed.

Nutrient efficiency

The nutrient efficiency indicator measures how efficiently nutrients are used in agricultural systems to maximise yields and minimise environmental impacts. It is influenced by five sub-indicators: Livestock farming, animal health, emission reductions in barns, storage of farm fertiliser and feeding. These sub-indicators indirectly assess nutrient efficiency, as they are automatically taken into account in the previous indicators.

Energy use/efficiency

Animal farming is characterised by a high energy demand and has a significant influence on the sustainability of pig farming. Therefore, a comprehensive consideration of this indicator is necessary, whereby the energy consumption is evaluated in relation to the quantity of piglets, fattening pigs or meat produced per kg. This includes electrical energy, heating energy and fuels (including self-generation) in kWh, which are required for barn work.

Remuneration 

The remuneration of dependent employees is a central social sustainability indicator. It can only be assumed that employees feel appreciated and perform their work with satisfaction if appropriate wages and salaries are paid. Conversely, remuneration that is too low leads to dissatisfaction and possibly reduced performance. Such a situation is regarded as extensively unsustainable.

Working hours

The employees' working hours and leisure time should be in a balanced ratio. Only then can it be assumed that this production factor can be used efficiently in the long term and that the workforce is not overtaxed. Among other aspects, the German Working Hours Act specifies the scope of working hours, rest breaks during work, night work, work on Sundays and public holidays and regulations for exceptions. Further regulations can be found in the framework collective bargaining agreement for employees in agricultural businesses.

Holiday

Recreational leave is an important social achievement on the part of our society and, as such, similarly expresses appreciation of dependent employees. Holiday helps to maintain the employees' health in the long term. The holiday entitlement of dependent employees is set out in the German Federal Holiday Act (BurlG). Further regulations are set out in the framework collective bargaining agreement for employees in agricultural businesses (employment contract). 

Training and advanced training

The training and advanced training of a business's employees is a fundamental prerequisite for a business to participate in technical and social progress. The training and advanced training criterion indicates the importance attached to the staff employed within the business. The hypothesis underlying the indicator states that a business that does not invest in its employees cannot operate sustainably in the long term.

Employee concerns

The employees within agricultural businesses are usually most familiar with the systems that they control and can provide valuable tips on good business management. Nine questions are used to assess the extent to which employees are integrated into the active development of the company and how their needs are recognized. These include written work profiles and gender-independent pay.

Employer

As the owner, the employer is subject to different standards than the employees. However, appropriate working hours, holiday and regularly attending further and advanced training courses are also crucial to the continued existence and therefore the sustainability of the business.

Work safety and health protection

Agriculture is one of the riskiest industries of all. The special characteristics of this industry, such as working outdoors, in greenhouses, with heavy machinery and animals and using crop protection products, can lead to increased risks for the employees. In order to highlight the importance of this indicator, a comprehensive catalogue of measures is used to ensure the work safety and health protection of employees by asking about training and work/protective clothing.

Social commitment

The social integration of a business in its environment is a key factor for its social acceptance. The social commitment and communication of all of a business's employees are therefore an important aspect. This indicator is intended to quantify the level of social commitment that the business manager and employees display for the business. In order to document the various social activities, the indicator contains three sub-indicators: 'Public commitment', 'Business's communication with the public realm' and 'Professional commitment'.

 

Service free of direct costs

The services free of direct costs correspond to the services minus all direct costs, including the interest costs for the capital invested in the farm inputs. It is used to cover all cost groups except direct costs. The service provided free of direct costs is independent of the type of work performed in the production process, i.e. independent of the technical equipment and other influences on the costs of the work performed.

Net cash flow (cash flow II)

This corresponds to the withdrawable financial surplus, i.e. the financial strength of a financial year. These free funds are available for distribution, for expansion investments or for the repayment of debt capital. This is a financial and success indicator which shows the extent to which a company or business unit has generated or can generate funds by itself. A positive value means positive liquidity.

Exploitation of the long-term loan repayment boundary

This key performance indicator is a liquidity ratio and shows the company's possible long-term financial ability to repay and pay interest on debt capital. The actual loan repayment refers to the long-term loan repayment boundary in this case. It therefore shows the extent to which the loan repayment boundary is being exploited.

Profit rate

The profit rate can provide information on both the profitability and the stability of a business. A high profit rate indicates that price fluctuations have less of an impact on income. It can also provide information on the quality of the company's management and the company's performance. A comparison is only sensible between companies with a similar production structure.

Equity ratio

The equity ratio is one of the key stability indicators. It assesses the business's capital strength and is an indicator of its creditworthiness. It can also be used by business managers as the basis for financing decisions.

 

Company code/ compliance regulation

The company code includes measures and processes that ensure compliance with legally binding and ethical regulations within the company. As part of the DLG 'Sustainable Agriculture' programme, each farm should formulate a company code and guarantee the provision of truthful data by signing the compliance regulation. 

Risk management

The requirements for agricultural risk management pose a constant challenge in business management. As part of the DLG 'Sustainable Agriculture' programme, farmers should therefore address the risks to their company and develop measures to avert or mitigate these risks.

 

Questions concerning the DLG standard 'Sustainable Agriculture':  nachhaltigkeit@dlg.org