Profit Tracker: Cattle, Hog Margins Steady

Cattle and hog feeding margins steady
Cattle and hog feeding margins steady
(FJ)

Cattle feeders saw closeouts gain an average of $7 per head last week, leaving average profits at $95 per head, according to the Sterling Beef Profit Tracker.

Average cash fed cattle prices were steady at $109, and packer profit margins improved $67 per head to $439. The beef cutout gained $10 per head to end the week at $231 per cwt. The cost of finishing a steer last week was calculated at $1,391, which is $9 lower than the $1,400 a year ago. The Beef and Pork Profit Trackers are calculated by Sterling Marketing Inc., Vale, Ore.

A year ago cattle feeders were earning $24 per head. Feeder cattle represent 69% of the cost of finishing a steer compared with 73% a year ago.

Farrow-to-finish pork producers saw their margins remain steady at $9 per head. Lean carcass prices traded at $60.60 per cwt., $1.26 per cwt. lower than the previous week, and $5.61 lower than a month ago. A year ago pork producers lost an average of $43 per head. Pork packer margins averaged a profit of $33 per head last week, down $6 from the previous week.

Sterling Marketing president John Nalivka projects cash profit margins for cow-calf producers in 2020 will average $51 per cow. For feedyards, Nalivka projects an average profit of $10 per head in 2020, and packer margins are projected to average $281 per head.

For farrow-to-finish pork producers, Nalivka projects 2020 will produces losses of $18 per head. Pork packers are projected to earn $48 per head in 2020.

 

Latest News

Winter bale grazing
North Dakota To Consider Voluntary Checkoff

A North Dakota state representative has introduced legislation that would make the state's additional $1 beef checkoff voluntary. It would have no impact on the national Beef Checkoff.

12 min ago
.
Greg Hanes: What Have You Done for Me Lately?

In this commentary Greg Hanes, CEO of the Cattlemen's Beef Board, discusses the ways that Beef Checkoff dollars have been used in the past few months.

56 min ago
Cattle and hog feeding
Profit Tracker: Steady In The Red

Cattle and hog feeding margins were little changed last week, with both recording modest losses. Beef packers saw improved margins on significant gains in wholesale beef prices.

16 min ago
USMEF Audio: Taiwan Expands Market Access for U.S. Red Meat, but with Some Controversy

On Jan. 1, Taiwan implemented market access changes for imports of U.S. beef and pork. For beef, the 30-month cattle age limit was eliminated. For pork, it established maximum residue limits for ractopamine residues.

12 min ago
PepsiCo, Beyond Meat Partner to Develop New Plant-Based Snacks

PepsiCo Inc and Beyond Meat Inc said on Tuesday they would form a joint venture to develop and sell snacks and beverages made from plant-based protein.

2 hours ago
Data shows home cooking brings families together.
The Pandemic Upped My Cooking Game

New research shows I'm not the only one who upped my cooking game last year. A new study provides insight into which cooking and consumption habits are likely to continue into the new year and beyond. 

1 min ago