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Livestock
Top Farmer 2020 slidedeck presentation by Chad Hart, Associate Professor of Economics, Iowa State University. Examine the current outlook for corn and soybeans, but also take a longer view of what’s ahead for the U.S. ag economy and the management implications for the next several years.
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A simple linear trend was used to predict pigs per litter for each year. The annual growth rate in pigs per litter was 0.10 pigs per year or 1.07 percent. This may seem small, however, over the 26-year period, this equates to 2.57 pigs or an increase of approximately 32 percent.
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USDA’s October Cattle on Feed report, released on Friday, October 25th, indicated that the nation’s on feed inventory of 11.3 million head was about 1% smaller than a year ago, but still more than 4% larger than two years ago.
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From the low point in 2014, beef cow numbers have expanded by nine percent. Total cow numbers including dairy cows are up seven percent.
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Corn price futures for the December 2019 contract increased from $3.79 per bushel for the week ending May 10 to $4.55 for the week ending June 28. Even though corn futures prices weakened after the release of the June crop acreage repor.
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Corn prices have increased since mid-May and are expected to be quite volatile for the rest of the year. Each $0.10 increase in corn price results in an increase in feeding cost of gain of $0.87 per cwt.
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Pork production was up four percent in the first-half this year, but the market did not see about nine percent more hogs coming to market in June.
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