Normally the contractor controls the delivery of hogs to the farm and the time for marketing. If there are delays in hog delivery or marketing, the producer should be compensated for this. Careful budgeting is needed to assure that the start-up phase occurs on time. The cost of the facilities must be in line with the proposed payment level and frequency of payment. Facility security and contractor access are also important factors to discuss when drawing up a contract.
Contractors commonly pay for all health care and have complete control over the health care.
The grower is usually responsible for ensuring withdrawal schedules are followed. Husbandry Practices - The producer is expected to care the contract swine using generally accepted animal husbandry practices. Most of the disputes that arise between the producer and contractor revolve around the producer's management autonomy. Producer's are often under the impression that they can continue to raise and market hogs the way they always have and receive the risk alleviation in the contract. It is important that producers understand the limits being placed on them before they enter into the agreement.