Feeding margins improved last week with the 5–Area Direct Steer prices strengthened to average $259.70/cwt. for the week. Sterling estimated last week’s average feedlot margin at $453.78/head. Excess packing capacity continues to be the pressing issue for packers with Sterling’s margin estimate at averaging -$253.51/head last week. Tight cattle numbers continues to be the pressing issue for packers. The closeout at Cargill’s Fort Morgan plant has reduced capacity enough to im

This is column #3 related to a recent Business Insider video/documentary: The real reason beef prices are so high. For me, it started with a LinkedIn post from one of the contributors (Dr. David Ortega); those comments whiffed, explaining the business (see columns one and two). Now, let’s turn our attention to the video. Near the end, Business Insider explains, “…for supply to increase, ranchers have to be able to afford expansion.” And then, featured producer (and RCALF Reg

Despite the economic headwinds and margin revolution currently squeezing the dairy sector, the U.S. dairy cow is working overtime. According to USDA’s latest Milk Production report, the U.S. dairy industry isn’t just maintaining its pace — it is accelerating. In May, milk production in the United States reached 20.6 billion lb., a 2.3% increase over the previous year. This surge is fueled by a unique combination of extreme efficiency and a significant expansion of the nationa