November 22, 2021
Factors Impacting Feeding Cost of Gain
Purdue ag economist Michael Langemeier discusses the key factors impacting feeding cost of gain in commercial feedlots. Though feeding cost of gain is influenced by many factors including type and quality of cattle fed, feeder weight, cattle performance, and feed prices; the vast majority of the variability in feeding cost of gain over time can be explained by feed conversion during the feeding period, and corn and alfalfa prices during the feeding period. The specific impact of each of these three factors is discussed in the video.
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Fed cattle prices are near record highs, but cattle finishing margins could remain under pressure through the rest of 2026 and into 2027. Michael Langemeier explains what’s driving the squeeze, from feeder cattle prices and feeding costs to historically high breakeven prices.
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