Total broiler production in 2020 was 44.57 billion pounds, up 1.5 percent over 2019 despite the COVID interruptions to slaughter facilities. This is the 18th year out of the last 20 where year-over-year broiler meat production increased. The two exceptions were in 2009 and 2012, which were impacted by high feed prices.
Reviewing the most recent annual SEC 10-K financial reports, chicken companies are advising about the impact of feed costs:
10 percent increase in corn and soymeal related to approximately $300 million in increased costs $0.10/bushel increase in corn or $10/MT increase in soybeans equates to roughly $25 million in EBIT
Of course, the impact of feed prices depends on the purchasing and hedging of feed costs. Taken on...
What You Need to Know Today: The corn and soybean markets closed slightly higher in low-volume trade. The wheat market was mixed, with HRW continuing its downward trek on improved moisture. As expected, the bearish cattle on feed report drove down cattle prices and pulled hogs down with it. Mi...
Monday, 25 May is a U.S. holiday, and both the markets and our office will be closed. Please note that the next issue of Ag Perspectives will be published on Tuesday, 26 May. The WPI staff wishes everyone a safe and enjoyable holiday weekend...
USDA’s monthly cattle on feed report was released today. The total number of cattle on feed in feedlots with 1,000 head or more capacity amounted to 11.6 million head, 102 percent of last year. Source: USDA, WPI Placements were up, but part of that is attributable to persistent drought c...
