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Garvo, and other feeders what are your thoughts on this article....
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Markwright
Posted 11/14/2012 17:59 (#2697106 - in reply to #2696509)
Subject: Re: Disagree with your 1st paragraph re corn. You


New Mexico
are opting the "one trick" pony path, so to speak.

Corn is Not the "cure all that ends all" regarding cattle feed ( nor as a feed cost index ).
40, to 50 years ago, the way to sell corn was to "walk" it off the farm ( thus corn price was more relative as a cattle feed ).

Times changed.

The price of the natural environment ( or rain ) is what dictates cattle availability AND feed costs as a whole.

For example: if/when a large wet cycle in the usa, fed feeds get cheaper because Natural grazed feeds are abundant and a Lot of cattle simply disappear in the environment.
Basically, natural grazing out runs everything from a cost stand point in most areas.

There's really only one home for most corn.
That is the ethanol market.

Other potential users tend to treat corn as an optional feed now, IF the price is right.

Since feed is always the largest cost in cattle, ALL feeds for cattle are rather optional ( so many different feeds out there it's unbelievable for cattle ), including natural grazed feeds.

Cattle are an " if the price is right " opportunity.
Thus cattle feed ( including corn or ddgs or whatever ) is also an " if the price is right " cost of opportunity.

Right now beet pellets are in the $220 to $230 p ton range.
Hard mollasses in the $160 range.

Seems like corn is way over priced in relation to the afore 2 feeds mentioned.




Edited by Markwright 11/14/2012 18:43
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