Oklahoma Farm Report masthead graphic with wheat on the left and cattle on the right.
Howdy Neighbors!
Ron Hays, Director of Farm Programming Radio Oklahoma Network  |  7401 N. Kelley Ave. Oklahoma City, OK 73111  |  (405) 841-3675  |  Fax: (405) 841-3674

advertisements
   
   
   
   
   
   
   
   

Beef Buzz News


USDA's Latest Cattle on Feed Report Reveals Implications of Heavyweight Feedlot Placements

Mon, 27 Feb 2017 12:26:48 CST

USDA's Latest Cattle on Feed Report Reveals Implications of Heavyweight Feedlot Placements The US Department of Agriculture released the most recent Cattle on Feed report, last Friday afternoon. Radio Oklahoma Ag Network Farm Director Ron Hays reached out to Dr. Derrell Peel, Oklahoma State University Extension Livestock Market Economist, for his analysis of the report. You can listen to him break down the numbers with Hays, by clicking or tapping the LISTEN Bar below. Peel also summarized his analysis in his article for this week’s Cow/Calf Corner Newsletter.



“The February USDA Cattle on Feed showed that January feedlot placements were 111.3 percent of last year while marketings were 110.2 percent of one year ago. There was one extra business day this January compared to last year. The February 1 on-feed total was 10.8 million head, 100.7 percent of last year. The report was well anticipated with no surprises in any of the numbers.



“Something new beginning with this report is more detail on heavyweight feedlot placements. This and future reports will include a breakdown of over 800 pound placements into 8-900 pounds, 9-1000 pounds and over 1000 pounds for the national totals. For individually reported states, the reports will detail 8-900 pounds and over 900 pound totals. This additional weight breakdown is important and needed as heavy feedlot placements have increased significantly in recent years. Prior to 2012, the annual average percent of heavy placements each month was fairly constant at about 28 percent.   Starting in 2012 the percent of heavy placements has increased steadily to the 2016 average of 36.8 percent. Not knowing how weights were distributed above 800 pounds has made it difficult to anticipate the market timing of heavy placements. The new data shows that 8-900 pound placements made up 71.8 percent of over 800 pound placements in January compared to 74.1 percent one year ago. 9-1000 pound placements made up 20.3 percent of over 800 pound placements compared to 19 percent in January, 2016. Placements over 1000 pounds were 7.9 percent of heavy placements compared to 6.9 percent last year. In total, placements over 900 pounds represented 8.1 percent of placements in January compared to 8.4 percent last year. Over time the value of this data will grow as more history is accumulated and averages and seasonal patterns emerge.



“Additional heavy-weight feedlot placements are one of several factors that have contributed to rapid increases in slaughter and carcass weights in recent years. Data on over 500 thousand head of cattle from a large, Southern Plains feedlot shows that heavy placements have different implications for final feedlot weight of cattle compared to lighter-weight placements. The feedlot data shows that for steers placed between 600-850 pounds, each additional pound of placement weight increases sale weight by an average of 0.52 pounds. However, above 850 pounds, each additional pound of placement weight is matched by one additional pound of sale weight. A similar but even more exaggerated pattern is true for heifers, with placements between 550-800 pounds producing an average of 0.48 pounds of sale weight for each additional pound of placement weight. For heifers placed over 800 pounds, each additional pound of placement weight results in 1.38 pounds of additional sale weight.



“The increase in heavy-weight feedlot placements in recent years was no doubt heavily motivated by high feedlot cost of gain over much of the period. However, even with sharply lower feed costs in 2017, there are several reasons that placement weights may not decline much in the coming months. Feedlots generally prefer to feed older, heavier cattle which is more possible with growing cattle numbers. Continued changes in cattle genetics, feeding management and feeding technology allow cattle to be fed efficiently to heavier weights. Placement of heavier animals in feedlots may also be contributing to the increase in the Choice grading percent in recent years. Nevertheless, slaughter and carcass weights will likely increase more slowly or plateau in coming years, in part because of demand limitations for ever larger carcasses.”


Listen to Dr. Peel breakdown the numbers in the latest Cattle on Feed report with Ron Hays, on today’s Beef Buzz.


The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR below for today's show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.



   




   

Listen to Dr Peel's breakdown of the numbers in the latest USDA Cattle on Feed report with Ron Hays
right-click to download mp3

 

WebReadyTM Powered by WireReady® NSI

 

Beef News

  • Regarding China's Beef Market, the Opportunity Looks Promising but Expect Some Growing Pains  Wed, 24 May 2017 11:36:27 CDT
  • US Beef Flying Off Shelves in Korea - Beef Board Chairman Brett Morris Shares Firsthand Experience  Tue, 23 May 2017 10:20:08 CDT
  • OK Producer and Beef Board Chair Brett Morris Shares His Experience Touring Japan's Beef Industry  Mon, 22 May 2017 12:06:56 CDT
  • Beef Industry Concerned There's Little to Gain in the Beef Business Through NAFTA Renegotiations  Fri, 19 May 2017 14:36:11 CDT
  • Sonny Perdue Testifies Before House Ag Committee That Having a Vaccine Bank is a Wise Decision  Thu, 18 May 2017 11:39:36 CDT
  • Oklahoma Cattlemen's Foundation Committee Meets to Begin Distribution Process of Fire Relief Funds  Wed, 17 May 2017 11:40:28 CDT
  • Access to Asia's Largest Market Worth All the Tea in China to US Cattlemen - $2.6 Billion to be Exact  Tue, 16 May 2017 16:11:07 CDT
  • Negotiations with China Reaching the Final Stages as Deadline to Grant Market Access Draws Near  Mon, 15 May 2017 13:08:39 CDT
  • China Announces It Will Accept US Beef by This Summer, NCBA Says Let's Get the Deal Done Right  Fri, 12 May 2017 12:47:06 CDT
  • Cattlemen Afraid of Losing Major Markets Spooked by Trump Administration's Itch to Abandon NAFTA  Thu, 11 May 2017 12:18:16 CDT
  • Unprecedented Four-Week Run in Fed Cattle Prices Linked to Solid Export Demand, Strong Markets  Wed, 10 May 2017 12:41:04 CDT
  • What's Causing Beef Markets to Spike? Livestock Marketing Information Center's Jim Robb Explains  Tue, 09 May 2017 11:30:58 CDT
  • Market Watcher Derrell Peel Sees No Reason Why US Herd Expansion Should Stop Anytime Soon  Mon, 08 May 2017 12:11:37 CDT
  • Producers Pleasantly Surprised by Unexpected Increases in Cattle Prices, But How Long Will It Last?  Fri, 05 May 2017 12:53:57 CDT
  • NCBA Shaking its Head after RCALF Launches Attack on Beef Checkoff with Supporters in Congress  Thu, 04 May 2017 11:15:22 CDT
  • Perdue Convinced Once Chinese Taste US Beef, They'll Want More - And There's a Lot of Them  Wed, 03 May 2017 10:51:54 CDT
  • Trump's Tough Stance on Regulations During His First 100 Days a Good Sign of Things to Come  Tue, 02 May 2017 11:33:39 CDT
  • What Consumers Want? Understanding the Controversial Social Issues Changing the Beef Industry  Mon, 01 May 2017 12:05:44 CDT
  • Market Economist Glynn Tonsor Explains How Social Pressures are Shaping Today's Beef Industry  Fri, 28 Apr 2017 16:03:14 CDT
  • Will "Populist" Attitudes Threaten the Beef Industry’s Success of Gaining Global Marketshare?  Thu, 27 Apr 2017 12:17:56 CDT
  • NCBA Believes Having Secretary Perdue on the Job Signals the End for Bad Policy Like GIPSA Rule  Wed, 26 Apr 2017 12:04:47 CDT
  • USMEF Gives New Secretary of Ag Sonny Perdue Its Stamp of Approval as an Advocate for Trade  Tue, 25 Apr 2017 11:43:10 CDT
  • Latest Cattle on Feed Report Shows Industry Doing a Good Job Managing Growing Cattle Supplies  Mon, 24 Apr 2017 11:10:01 CDT
  • Integrity Beef Sustainability Project Offers Opportunity to Test US Roundtable's New Metrics  Fri, 21 Apr 2017 14:02:19 CDT
  • Serious About Ranching? Consider a Master's in Ranch Management from the King Ranch Institute  Thu, 20 Apr 2017 12:15:18 CDT
  • King Ranch Institute's Clay Mathis Talks Technology on the Ranch and How to Make Money Using It  Wed, 19 Apr 2017 11:04:07 CDT
  • Standing the Test of Time - Professional Advice on How to Think Like a Successful Rancher Should  Tue, 18 Apr 2017 13:21:14 CDT
  • Don't Wait, Start Now in Developing an Estate Plan for Your Family's Farming or Ranching Operation  Mon, 17 Apr 2017 12:24:31 CDT
  • Trump Convinces China to Grant Market Access to US Beef - NCBA Hails It a Major Victory  Fri, 14 Apr 2017 11:10:42 CDT
  • Market Watcher Jim Robb Says 1Q Strength just the Start to Solid Growth in Export Markets this Year  Thu, 13 Apr 2017 14:19:41 CDT
  • US Beef Exports Pick Up the Pace in 2017 Sporting a Strong Competitive Edge Internationally  Wed, 12 Apr 2017 12:52:44 CDT
  • Begin With the End In Mind - Finding the Right EPD Mix in Your Herd to Improve Quality and Profit  Tue, 11 Apr 2017 11:34:08 CDT
  • Small Steps That Can Take Your Herd Far in Improving the Flavor Profile of Your Cattle Herd  Mon, 10 Apr 2017 12:23:02 CDT
  • Derrell Peel Writes Feedlot Business a Clean Bill of Health Noting Aggressive and Current Marketings  Fri, 07 Apr 2017 14:05:12 CDT
  • US Beef Industry Sticking Its Foot in the Door of Asian Markets as Australia Regroups from Droughts  Thu, 06 Apr 2017 11:55:10 CDT

  •  

    Beef Buzz Archives

    Old Archives  |   2010  |   2011  |   2012  |   2013  |   2014  |   2015  |   2016  |   Jan 17  |   Feb 17  |   Mar 17  |   Apr 17  |   May 17  |   Jun 17  |   Jul 17  |   Aug 17  |   Sep 17  |   Oct 17  |   Nov 17  |   Dec 17
       

    Ron salutes our daily email sponsors!

    Livestock Exchange Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit P&K Equipment Oklahoma City Farm Show Stillwater Milling American Farmers & Ranchers KIS FUTURES, INC. Oklahoma Cattlemen's Association

    Search OklahomaFarmReport.com


       
       
    © 2008-2017 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup

    WebReady powered by WireReady® NSI