An ag economist says higher corn prices are squeezing cattle
producers’ profitability.
Michael Langemeier is with Purdue University’s Center for Commercial
Agriculture. “Each $.10 per bushel
increase in corn prices increases feeding cost of gain $.87 per cwt,” he
says. “We’ve already seen at least a
$.50 increase in corn prices – that’s a pretty big impact on feeding cost of
gain already.”
He tells Brownfield locking in a portion of the corn needed to feed cattle can help to limit some of the risks for producers, but he doesn’t recommend locking in prices for everything.
Continue reading Rise in corn prices squeezing cattle producers at Brownfield Ag News.
