October 26, 2012

Reduced demand could ease prices for livestock feed

Now that much of the nation’s corn has been harvested and the impact of this year’s drought is clear, analysts say demand rather than supply will drive the feed market, and prices could potentially move lower to gauge where buying interests may be.  Any kind of price relief would be welcomed by California livestock farmers, who saw feed prices soar to record levels this summer as scorching heat and parched conditions withered crops in the Corn Belt.  The state’s dairy farmers, particularly, have been hit hard. Many of them were already struggling with financial problems brought on earlier by the recession and the milk price collapse in 2009. Skyrocketing feed costs have added to their plight, with a growing number of producers reportedly closing their doors and filing bankruptcy. Read More

Leave a Reply