Posted by IaGary on December 02, 2011 at 05:12:59 from (69.63.5.162):
The higher price of cattle feed has been talked about lately on this forum.
Here are my thoughts on the subject.
Back when corn was 2.50 a bushel cattle producers were getting in the $80 range for finished cattle.
So a 1200lb steer brought $960.
When you had 100 bushel of corn in that 1200LB critter it cost you $250 for the corn.
$960-$250 for the corn left you $710 for the other expenses.
Now corn is $6 so we have $600 for corn. That steer is fetching a $1.20 a pound or $1440 for that 1200 LB steer.
$1440- $600 for corn leaves you $840 for the other expenses with todays prices.
I know your bean meal and other feed stuffs are higher as well. It seems to me it should pencil out if we don't get to carried away on the purchase price of that 600 calf to put on feed.
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