Feedyard News

Rollins Rolls Out 5-Point Plan to Contain New World Screwworm

Wed, 18 Jun 2025 19:01:29 GMT

Today Secretary of Agriculture Brooke Rollins announced a five-pronged plan to combat New World screwworm (NWS) – a pest that would devastate ranchers if it made its way across the border.

Rollins made her announcement at the Moore Air Base facility near Edinburg, Texas. Moore was instrumental as a sterile fly production lab to rid the U.S. of NWS in the 1960s and 1970s. Hundreds of millions of flies were reared, sterilized with radiation and dropped from aircraft to eliminate the parasitic pest that preyed upon wildlife and livestock. According to a USDA spokesperson it will cost an estimated $8.5 million to get the base up and running as a distribution facility.

U.S. Secretary of Agriculture Brooke Rollins this morning launched an $8.5 million sterile New World screwworm (NWS) fly dispersal facility in South Texas and announced a plan to enhance USDA’s already robust ability to detect, control, and eliminate this pest.

(U.S. Department of Agriculture)

According to the Texas Wildlife Association , there are currently more than 1,800 cases of livestock infestation in southern Mexico. The flies are moving north and are currently 600 miles from the south Texas border.

“We have defeated the screwworm before, and we will do it again,” Rollins says.

Here in McAllen, TX to announce a BOLD 5-pronged plan to combat the deadly parasite called New World Screwworm – which would devastate ranchers if it made its way across the border.

We are protecting producers, strengthening biosecurity, and ALWAYS standing up for American… pic.twitter.com/VHOlqZyZ9a
— Secretary Brooke Rollins (@SecRollins) June 18, 2025

Her five-pronged plan to combat NWS includes:

Stop the pest from spreading in Mexico.
Rollins plans to continue partnering with her Mexican counterparts and using sterile insect technology to stop the spread. This includes investing $21 million to produce up to 100 million additional sterile flies weekly.

“We are first enhancing the international sterile fly production and investing $21 million in renovation of an existing fly facility in southern Mexico, which will provide up to 100 million additional sterile flies every week to stop the spread,” Rollins says.

Currently, the only sterile fly facility is located in Panama. It’s jointly run by the Panamanian government and the U.S. government. USDA had previously announced its plan to invest in the retrofiting of a fruit fly facility in Chiapas, Mexico, to produce additional sterile flies.

According to the National Cattlemen’s Beef Association , “The Chiapas facility produces about 117 million flies per week, but to form an effective barrier along the U.S. southern border, we need upward of 300 million sterile flies per week.”
Protect the U.S. at all costs.
Rollins temporarily closed the southern border to live animal imports and intercepting illegally introduced livestock. USDA is working closely with Mexico to improve surveillance.

“I do believe we have met and moved into a new era of productive partnership —perhaps better than ever before — with our Mexican counterparts,” Rollins says.
Maximize our readiness.
This will be achieved by partnering with state animal health officials to update emergency management plans and stockpile therapeutics for ranchers.
Take the fight to the screwworm.
The domestic fight includes establishing a sterile fly dispersal facility at Moore Air Base. Rollins says they are exploring options for building a domestic production facility at Moore that could produce up to 300 million sterile flies per week.

“We can’t get a brand new facility up and running probably before two or three years. So, that’s why we’ve got to really focus on the today,” Rollins explains.

She also announced USDA will be hosting listening sessions in affected areas starting next week.
Innovate Our Way to Eradication.
Leverage the sound science including USDA’s Agriculture Research Service (ARS) to continue to quickly develop novel treatments, preventatives and response strategies. Rollins says this includes working with land grant universities in Texas, Arizona and New Mexico. She listed these key strategies during the press conference:
- Develop better fly traps and lures
- Provide local training
- Improve surveillance methods
- Create new response strategies

Nearly 80 lawmakers led by House Ag Committee Chair Glenn “GT” Thompson (R-Pa.) sent a bipartisan letter on Tuesday to Rollins urging immediate action and promising congressional support for the significant funding required.

The letter included this message, “When looking solely at the historical impact of NWS in Texas, USDA’s Animal and Plant Health Inspection Service (APHIS) estimates a contemporary outbreak would cost producers $732 million per year and the Texas economy a loss of $1.8 billion. Extrapolating those results to the states within the historic range of NWS pre-eradication, a contemporary outbreak of NWS could cost producers $4.3 billion per year and cause a total economic loss of more than $10.6 billion. This does not account for the possible expansion of NWS beyond the historic range.”

U.S. Congresswoman Monica De La Cruz (R-Texas) was at the announcement and recently shared in a letter to Rollins these key advantages of the Moore Air Base location:

Border proximity: The proximity to the border with Mexico is crucial for effective monitoring and control of potential incursions of invasive fly species. A facility in this region would allow for rapid response and containment, minimizing the spread of infestations into the U.S.
Existing agricultural infrastructure: The region boasts a robust agricultural sector with established infrastructure and expertise in livestock management. This existing framework would facilitate efficient integration of the sterile fly facility and streamline its operations. Additionally, Moore Air Base has operations runways equipped to distribute sterile flies.
Strategic location: Moore Air Base offers a central location for distribution of sterile flies to other areas in the southern U.S., if such a need arises. Additionally, this base was the site of a facility used in the 1960s to successfully combat NWS.
Economic impact: The establishment of such a facility would provide valuable economic opportunities for the region by generating jobs and stimulating local economies.

U.S. Congressman Ronny Jackson (R-Texas) summarized at the announcement, “This is important to the whole country. We are going to be aggressive about this, and we are going to make sure that we don’t get screwed by the screwworm.”

Your Next Read: Urgency in Action: We Must Eradicate New World Screwworm

Profit Tracker: Feedlot Breakevens Near $190 Per Cwt.

Fri, 12 Jul 2024 17:24:49 GMT

Negotiated cash cattle sold at all-time highs the first week in July and higher for the seventh consecutive week. Still, cattle feeding margins declined $12 per head for an industry average $451 per head. Meanwhile, beef packers saw their margins improve $40 per head to a loss of $46 per head, according to the Sterling Beef Profit Tracker. That puts the packer/feeder margin spread at $497 per head in favor of the feeder.

Cash cattle averaged $198.22 per cwt. the week ending July 6, while composite wholesale beef prices posted $6.03 per cwt. gains to close at $324.47 per cwt. The Beef and Pork Profit Trackers are calculated by Sterling Marketing, Vale, Ore.

Cattle sold last week carried a total feed cost of $355.47 per head, up $1.50 per head from the previous week, and about $226 less than feed costs for cattle sold the same week a year ago.

Cattle marketed last week had a breakeven of $166.02 per cwt., while cattle placed on feed last week have a breakeven of $189.95 per cwt., which is about $1 per cwt. higher than the previous week and $13.80 per cwt. higher than the same week a year ago. Cattle placed last week are calculated to have a purchase price for 750-800 lb. feeder steers at $269.99 per cwt., or $13.90 per cwt. more than a month ago. The feeder steer price is 13% higher than last year.

The estimated total cost for finishing a steer last week was $2,324 per head, up 8% from last year’s estimate of $2,134 per head.

Fed cattle slaughter totaled an estimated 424,457, down 75,532 head from the same week last year. Packing plant capacity utilization was estimated at 72.5% compared to 72.7% last year.

Farrow-to-finish hog producers found positive margins of $57 per head last week, up $43 from the previous week. Lean carcass prices averaged $93.30 per cwt., up $2.33 cents per cwt. from the previous week.

Pork packers saw average losses of $9 per head, compared to near breakeven the previous week. Last year pork packer margins were $5. Hog slaughter was estimated at 2.045 million head, up 92,000 head from the same week last year.

Pork packer capacity utilization was estimated at 75.8% compared to 72.5% last year.

(Note: The Sterling Beef Profit Tracker calculates an average beef cutout value for the week in its estimates for feedyard and packer margins. Other prices in the weekly Profit Tracker also are calculated weekly averages. Feedyard margins are calculated on a cash basis only with no adjustment for risk management practices. The Beef and Pork Profit Trackers are intended only as a benchmark for the average cash costs of feeding cattle and hogs. Sterling Marketing is a private, independent beef and pork consulting firm not associated with any packing company or livestock feeding enterprise.)

Texas-Sized Problems Hit the Lone Star State, but Ag Commissioner says ‘Things are Getting Better’

Thu, 04 Apr 2024 21:26:34 GMT

Already this year, farmers and ranchers based in the Texas Panhandle have dealt with some Texas-sized problems that have impacted their livelihoods.

In March, the Smokehouse Creek Fire burned more than a million acres and killed thousands of cattle, primarily in the Panhandle and in Oklahoma.

Cal-Maine Foods, the largest producer and distributor of fresh shell eggs in the U.S., announced on Tuesday that chickens at its facility in the southwest part of the Texas Panhandle, in Parmer County, tested positive for highly pathogenic avian influenza (HPAI). As a result, Cal-Maine had to cull nearly 2 million chickens − 1.6 million hens and 337,000 pullets.

Dairy producers in the Texas Panhandle have also grappled with outbreaks of HPAI in their cow herds in recent weeks. To date, the USDA has confirmed the H5N1 strain of HPAI in dairy cattle on seven Texas farms.

In addition, one dairy worker has contracted an HPAI infection and displayed mild symptoms, the Texas Department of Health and Human Services reported Monday.

“It’s a mild, mild case and the only symptom he had was pinkeye,” Sid Miller, state commissioner of the Texas Department of Agriculture, told AgriTalk Host Chip Flory on Thursday. Miller said it’s unknown how the individual was infected.

You can listen to their conversation here:

What’s Going To Happen Next?
Flory asked Miller whether he believes state agriculture department investigators are in front of the latest issues with HPAI in dairy cattle.

“I think so,” Miller replied. “We’ve got about 10 months before the ducks and geese come back, so I think we’ll have it figured out by then.”

Miller speculated that waterfowl caused the dairy and poultry HPAI infections.

“Cowboy logic would tell you that cattle were drinking from the same ponds where waterfowl were present,” he said. “Or, maybe waterfowl had been in the feed boxes eating grain or something (along those lines). So, we’ve got to take better biosecurity measures to make sure that we eliminate all those possibilities.”

Despite the challenges Texas agriculture has faced the past few months, Miller is cautiously optimistic.

“Things are turning around and getting better. They really are,” he said.

One concern the livestock industry has now is whether HPAI will impact beef cattle at some point.

“You’ve seen what’s happened in the cattle markets,” Flory said. “They’re looking at it like this is a major problem for beef.”

Miller replied that he doesn’t anticipate there will be an HPAI problem in Texas beef cattle, which consist primarily of feedlot cattle in the Panhandle.

“The cattle that get it are the older lactating cows, and we don’t have those in the feedlot,” Miller said. “I think we’re OK, but we’re certainly going to research that.”

Food Safety Precautions
Miller said one of the Texas Department of Agriculture’s primary responsibilities is to make sure food produced in the state is safe for consumers. None of the affected milk, meat or eggs ever reached the marketplace.

“If you want to take some precautions, you might lay off the raw milk and unpasteurized dairy products, because that’s about the only way (HPAI) could get there,” Miller said. “But it’s not in the food chain. It’s not going to create a shortage of milk and dairy products. There’s no shortage of eggs. So, consumers, just rest assured. Don’t be alarmed. This is really not going to affect you.”

In a statement last week, the Centers for Disease Control said it considers the human health risk to the U.S. public from the virus to be low, though people who work with livestock are at higher risk of infection. The agency also advised against eating unpasteurized dairy products, such as raw milk or cheese, from animals with suspected or confirmed cases of HPAI.

More news on HPAI is available here:

Rare Human Case of Bird Flu Confirmed. Officials Believe it Began on Texas Dairy

HPAI Now Detected on Ohio Dairy: Strange Bird Flu Concerns See Growth

New Regulation: Dairy Cattle Entry into Nebraska Now Requires Permit Amid HPAI Bird Flu Concerns

Twelve Cases of HPAI in Dairy Cattle Confirmed in Five States

Profit Tracker: Packer/Feeder Margin Spread Grows

Tue, 26 Mar 2024 20:21:32 GMT

Negotiated cash cattle prices gained more than $2 per cwt. last week posting new record highs and adding $24 profit to an industry average $124 per head. Meanwhile, beef packers saw their margins erode another $12 per head to average losses of $123 per head, according to the Sterling Beef Profit Tracker.

Cash cattle averaged $190.20 per cwt. the week ending Mar. 23, while composite wholesale beef prices posted $2.71 per cwt. gains to close at $300.20 per cwt. The Beef and Pork Profit Trackers are calculated by Sterling Marketing, Vale, Ore.

Cattle sold last week carried a total feed cost of $386 per head, up about $2 per head from the previous week, and about $216 less than feed costs for cattle sold the same week a year ago.

Cattle marketed last week had a breakeven of $181.33 per cwt., while cattle placed on feed last week have a breakeven of $181.28 per cwt., which is up nearly $2 per cwt. from the previous week. Cattle placed last week are calculated to have a purchase price for 750-800 lb. feeder steers at $255.46 per cwt., or $11 per cwt. more than a month ago. The feeder steer price is 27% higher than last year.

The estimated total cost for finishing a steer last week was $2,538 per head, up 17% from last year’s estimate of $2,111 per head.

Fed cattle slaughter totaled an estimated 473.018, down 13,561 head from the same week last year. Packing plant capacity utilization was estimated at 80.0% compared to 83.1% last year.

Farrow-to-finish hog producers found positive margins at $18 per head last week, up $5 from the previous week. Lean carcass prices averaged $82.28 per cwt., $1.87 per cwt. higher than the previous week and $2.84 per cwt. higher than last year.

Pork packers saw profits of about $11 per head, or $3 per head less than the previous week. Last year pork packers saw losses of $5. Hog slaughter was estimated at 2.532 million head, up 66,000 head from the previous week and up 60,000 head from last year.

Pork packer capacity utilization was estimated at 93.9% compared to 91.8% last year.

(Note: The Sterling Beef Profit Tracker calculates an average beef cutout value for the week in its estimates for feedyard and packer margins. Other prices in the weekly Profit Tracker also are calculated weekly averages. Feedyard margins are calculated on a cash basis only with no adjustment for risk management practices. The Beef and Pork Profit Trackers are intended only as a benchmark for the average cash costs of feeding cattle and hogs. Sterling Marketing is a private, independent beef and pork consulting firm not associated with any packing company or livestock feeding enterprise.)

Encourage the Next Generation to Chase Big Dreams

Tue, 16 Jan 2024 15:07:45 GMT

I instantly felt at ease when I walked into the office of Magnum Feedyard LLC and found myself surrounded by two of my passions: livestock and wrestling. In addition to being well known for their impressive cattle feedyard, the Gabel family is also well known for their love of wrestling.

We were traveling with our 4-H livestock judging team to Denver for the Western National Roundup and had just worked out on three great classes of feedlot cattle. The cattle were awesome, nobody busted a class, and the weather was chilly, but beautiful. As I stood there listening to Steve Gabel and his daughter Christie discuss the history of Magnum Feedyard, I was reminded once again of why I believe livestock judging is one of the greatest opportunities available for young people today.

It’s the people.

^{Christie Gabel and Steve Gabel of Magnum Feedyard (center) with Champaign County 4-H livestock judging team members (l to r) Morgan Huls, Hunter Shike, Nolan Lee and Olivia Shike at Magnum Feedyard in Wiggins, Colo.}

The connections you make along the way and the inspiration that can be gleaned are priceless. There is nothing like hearing the stories of industry giants who worked their way to the top. Steve shared how he got started in the business and what he’s learned.

Here are a few things that really resonated with me.
1. “Get up every morning, pull on your boots and work hard. The key to success is methodical grind.”

Methodical grind – an excellent description for what separates the best from the rest. There’s no question talent makes a difference when it comes to running a business, competing in a judging contest or stepping onto the wrestling mat. But what makes the biggest difference is commitment, the daily decision to choose to work hard and simply show up. Steve reminded us there aren’t many shortcuts in animal agriculture – so work hard instead.

However, we live in a world that wants to find the easier way. For example, in a recent “ Land Your Ground ” podcast with host Chase Burns, my brother-in-law David Shike sat in as the guest. David pointed out we’re probably all a little guilty of wanting to make things easier for our kids and the next generation. He said that his grandpa worked harder than his dad. And that his dad worked harder than him, and he’s likely worked harder than his kids.

But what’s the cost of “a little less work?” David said it worried him to see how things have changed in this country when it comes to work ethic.

2. “A lot of people say the cost barrier to enter agriculture today is too steep, but I argue it’s not.”

Steve believes there are many great opportunities in agriculture for young people willing to work hard and think outside of the box. He also said it’s about knowing the right people and being able to communicate with them.

One of the best things I learned from livestock judging was how to organize my thoughts to make a decision in a timely manner, and then back it up with solid logic. Then, I learned the value of sharing that with others. An idea or a reason for doing something is good, but it won’t go very far unless it’s communicated clearly.

Agriculture is more complicated than ever, and there’s no doubt that cost barrier is high. But Steve is quick to point out the cost is worth it.

3. “Every day I get to do a job I love.”

I admit this may not seem like an earth-shattering thought. But we live in a world where many people are motivated by money and power. It’s all too easy to lose sight of the value of truly enjoying what you do every day. When you enjoy your work, it rubs off on the people around you. When you don’t, it rubs off on the people around you.

Life isn’t predictable and sometimes the best laid plans fall apart. Don’t waste it spending time doing something you aren’t passionate about. When Steve talks about his feedlot, there’s no mistaking the sparkle in his eye, the excitement in his voice and the special connection it has created between him and his family. To see his children follow in his footsteps validates that his passion inspired them, too.

When we got back into the SUV and left the feedlot that afternoon, one of our kids piped up and said, “I think I want to buy a feedlot.” I smiled as I thought, “Job well done, Mr. Gabel.” What better impact can we make on the next generation than encouraging them to chase after big dreams and empower them with skills to help them get there?

I know he likely won’t buy a feedlot someday, but you never know.

Read More:

How 20 Voices Spoke Up for the Pork Industry in 2023

A Humble Leader: How Paul Sundberg Moved the Needle in Swine Health

5 Pork Stories We Can’t Get Out of Our Mind

CAFO Rules Made While Violating Open Meetings Laws, Lawsuit Filed

Fri, 08 Sep 2023 02:39:58 GMT

When debating possible farming rules specifically regarding concentrated animal feeding operations (CAFOs), central Missouri’s Cooper County health board faces a lawsuit for knowingly violating the open meetings, “Sunshine Law.”

Closed meetings, beginning in 2018, failed to be properly detailed to county residents about the subject matter discussed in the meeting and why they were deemed “closed session” material.

Spurred by a Minnesota-based Pipestone farm proposal that would bring a new facility to southern Cooper County, the health board held a series of meetings to draft rules limiting how much manure farmers could use on their property that came from the CAFO, a local news source explains.

“The law gives elected officials in general and agency bureaucrats a lot of latitude in a lot of different contexts to make rules that can significantly affect your life,” says Brent Haden, an attorney for the local farmers told the news source. “At the very least, if they’re going to do that, then they should expose to the light of day what they’re doing, the reasons they’re doing it, the why and the how of what they’re doing.”

Last week, a jury found the board had violated the open meetings law five separate times and could face as much as a $1,000 per violation. Additionally, the lawsuit challenges the rules the county placed on the CAFO operation.

Cooper County also sued the state of Missouri in a separate lawsuit over laws outlawing counties from enacting stringent health rules on agriculture, the news article reports. The lawsuit is set to appear in front of the Supreme Court of Missouri on Sept. 20.

Profit Tracker: Beef & Pork Producer Margins Gaining

Tue, 25 Jul 2023 21:19:27 GMT

Cattle slaughter continues in decline and packers are scrambling to find enough market-ready cattle to keep the chains moving. Feedyards have countered with higher asking prices. USDA’s most recent grading data and the national Choice plus Prime grading percentage reached a new low for 2023, equaling the 5-year average.

For the week ending July 22, cattle feeders found average profits near $441 per head, about steady with profits the previous week. The week’s 5-area direct price was $187.26 per cwt. an increase of $2.90 per cwt., which is $44 per cwt. higher (+24%) than the same week a year ago, according to the Sterling Beef Profit Tracker .

Beef packer margins slipped further into the red with average losses of about $81 per head, or losses of $71 per head more than the previous week. Wholesale beef prices posted an average of $300 per cwt., down about $5 from the previous week. The Beef and Pork Profit Trackers are calculated by Sterling Marketing, Vale, Ore.

Cattle sold last week carried a total feed cost of $580 per head, up about $2 per head from the previous week, but 12% higher than the $510 feed costs for cattle sold the same week a year ago.

Cattle marketed last week had a breakeven of $155.76 per cwt., while cattle placed on feed last week have a breakeven of $181.82 per cwt. Cattle placed last week are calculated to have a purchase price for 750-800 lb. feeder steers at $242.69 per cwt., and feed costs of $454 per head. The feeder steer price is 31% higher than last year.

The estimated total cost for finishing a steer last week was $2,180 per head, up 18% from last year’s estimate of $1,917 per head.

Fed cattle slaughter totaled an estimated 498,632 head, down about 4,000 head from the previous week and 14,000 fewer than the same week last year. Packing plant capacity utilization was estimated at 87.2% compared to 89.4% last year.

Farrow-to-finish hog producers saw profits of about $45 per head last week, about $9 per head more than the previous week. Pork producers saw profits of $89 per head the same week a year ago. Lean carcass prices averaged $106.13 per cwt., up $3.51 per cwt. from the previous week.

Pork packers closed the week with $6 per head profits, down $3 per head from the previous week. Last year pork packers were losing about $16 per head. Hog slaughter was estimated at 2.316 million head, down 12,000 head from the week before and up 22,000 head from last year.

Pork packer capacity utilization was estimated at 85.2% compared to 83.0% last year.

(Note: The Sterling Beef Profit Tracker calculates an average beef cutout value for the week in its estimates for feedyard and packer margins. Other prices in the weekly Profit Tracker also are calculated weekly averages. Feedyard margins are calculated on a cash basis only with no adjustment for risk management practices. The Beef and Pork Profit Trackers are intended only as a benchmark for the average cash costs of feeding cattle and hogs. Sterling Marketing is a private, independent beef and pork consulting firm not associated with any packing company or livestock feeding enterprise.)

Profit Tracker: Feedyard Margins Rapidly Declining

Fri, 07 Jul 2023 19:17:07 GMT

Cattle feeding margins shed another $26 per head last week as cash prices declined $3 per cwt. Industry average profit margins on cattle sold last week were $91 per head, which is 50% lower than two weeks ago, according to the Sterling Beef Profit Tracker .

For the week ending May 10, cash cattle sold for an average of $120.24 per cwt., while the beef cutout closed the week at $221.13 down $6.88 from May 3. Packers saw profits of $149.56 per head last week, $19 lower than the previous week. The Beef and Pork Profit Trackers are calculated by Sterling Marketing Inc., Vale, Ore.

A year ago cattle feeders were earning an average of $20 per head. Feeder cattle represent 72% of the cost of finishing a steer compared with 72% a year ago.

Farrow-to-finish pork producers saw their margins decline $2 per head with profits of $47. Lean carcass prices traded at $82.73 per cwt., $0.26 per cwt. lower than the previous week, and $4.86 higher than a month ago. A year ago pork producer margins were positive $9 per head. Pork packer margins averaged a loss of $3 per head last week.

Sterling Marketing president John Nalivka projects cash profit margins for cow-calf producers in 2019 will average $144 per cow. That would be modestly lower compared to the $161 estimated average profit for 2018. Estimated average cow-calf margins were $164 in 2017, $176 in 2016, and $438 per cow in 2015.

For feedyards, Nalivka projects an average profit of $77 per head in 2019, which would be $53 better than the average of $24 per head in 2018. Nalivka expects packer margins to average about $156 per head in 2019, about $14 less than in 2018.

For farrow-to-finish pork producers, Nalivka projects an average loss of $14.60 per head in 2019, as compared with an average profit of $1.35 per head in 2018. Pork packers are projected to earn $21 per head in 2019, about $3 less than the $20 per head profits of 2018.

Related stories:

Feedyard Margins Decline 35%

Profit Tracker: Feedyard Margins Decline 35%

Fri, 07 Jul 2023 19:17:07 GMT

Last week’s $3 per cwt retreat in cash cattle prices pushed feeding margins 35% lower, to an average of $117 profit per head. Margins were $67 per head lower than the previous week, according to the Sterling Beef Profit Tracker .

For the week ending May 3, cash cattle sold for an average of $123.19 per cwt., while the beef cutout closed the week at $228.01 down $3.51 from April 26. The Beef and Pork Profit Trackers are calculated by Sterling Marketing Inc., Vale, Ore.

A year ago cattle feeders were earning an average of $92 per head. Feeder cattle represent 71% of the cost of finishing a steer compared with 72% a year ago.

Farrow-to-finish pork producers saw their margins improve $1 per head with profits of $49 per head. Lean carcass prices traded at $82.99 per cwt., $0.50 per cwt. lower than the previous week, and $4.61higher than a month ago. A year ago pork producer margins were positive $6 per head.

Sterling Marketing president John Nalivka projects cash profit margins for cow-calf producers in 2019 will average $153 per cow. That would be modestly lower compared to the $162 estimated average profit for 2018. Estimated average cow-calf margins were $164 in 2017, $176 in 2016, and $438 per cow in 2015.

For feedyards, Nalivka projects an average profit of $74 per head in 2019, which would be $50 better than the average of $24 per head in 2018.

For farrow-to-finish pork producers, Nalivka projects average profits of $26 per head in 2019, as compared with an average profit of $1.35 per head in 2018.

Related stories:

Profit Tracker: Feedyard Margins Trend Higher

Profit Tracker: Feedyard Margins Trend Higher

Fri, 07 Jul 2023 19:17:07 GMT

Cattle feeding margins improved $57 per head last week, due primarily to lower prices paid for incoming feeder cattle against last week’s marketings. Industry average profit margins on cattle sold last week were $184 per head, according to the Sterling Beef Profit Tracker.

For the week ending April 26, cash cattle sold for an average of $126.24 per cwt., while the beef cutout closed the week at $231.52 up $0.72 from April 19. The Beef and Pork Profit Trackers are calculated by Sterling Marketing Inc., Vale, Ore.

A year ago cattle feeders were earning an average of $74 per head. Feeder cattle represent 73% of the cost of finishing a steer compared with 72% a year ago.

Farrow-to-finish pork producers saw their margins improve $5 per head with profits of $48 per head. Lean carcass prices traded at $83.49 per cwt., $2.50 per cwt. higher than the previous week, and $6.89 higher than a month ago. A year ago pork producer margins were positive $7 per head.

Sterling Marketing president John Nalivka projects cash profit margins for cow-calf producers in 2019 will average $153 per cow. That would be modestly lower compared to the $162 estimated average profit for 2018. Estimated average cow-calf margins were $164 in 2017, $176 in 2016, and $438 per cow in 2015.

For feedyards, Nalivka projects an average profit of $74 per head in 2019, which would be $50 better than the average of $24 per head in 2018.

For farrow-to-finish pork producers, Nalivka projects average profits of $26 per head in 2019, as compared with an average profit of $1.35 per head in 2018.

Profit Tracker: Feedyard Margins Improve $43

Fri, 07 Jul 2023 19:17:07 GMT

Cattle feeding margins improved $43 per head last week as cash prices gained nearly $2 per cwt. Industry average profit margins on cattle sold last week were $127 per head, according to the Sterling Beef Profit Tracker.

For the week ending April 19, cash cattle sold for an average of $126.78 per cwt., while the beef cutout closed the week at $230.80 up $3.24 from April 12. Packers saw profits of $194 per head last week, $14 higher than the previous week. The Beef and Pork Profit Trackers are calculated by Sterling Marketing Inc., Vale, Ore.

A year ago cattle feeders were losing an average of $44 per head . Feeder cattle represent 73% of the cost of finishing a steer compared with 72% a year ago.

Farrow-to-finish pork producers saw their margins improve $5 per head with profits of $43 per head. Lean carcass prices traded at $80.99 per cwt., $3.12 per cwt. higher than the previous week, and $16.68 higher than a month ago. A year ago pork producer margins were negative $2 per head. Pork packer margins averaged a profit of $4 per head last week.

Sterling Marketing president John Nalivka projects cash profit margins for cow-calf producers in 2019 will average $144 per cow. That would be modestly lower compared to the $161 estimated average profit for 2018. Estimated average cow-calf margins were $164 in 2017, $176 in 2016, and $438 per cow in 2015.

For feedyards, Nalivka projects an average profit of $77 per head in 2019, which would be $53 better than the average of $24 per head in 2018. Nalivka expects packer margins to average about $156 per head in 2019, about $14 less than in 2018.

For farrow-to-finish pork producers, Nalivka projects an average loss of $14.60 per head in 2019, as compared with an average profit of $1.35 per head in 2018. Pork packers are projected to earn $21 per head in 2019, about $3 less than the $20 per head profits of 2018.

Related stories:

Profit Tracker: Feedyard Margins Improve $16

Profit Tracker: Feedyard Margins Improve $16

Fri, 07 Jul 2023 19:17:07 GMT

Cattle feeding margins improved $16 per head last week as cash prices improved less than $1 per cwt. Industry average profit margins on cattle sold last week were $84 per head, according to the Sterling Beef Profit Tracker.

For the week ending April 12, cash cattle sold for an average of $125.07 per cwt., while the beef cutout closed the week at $227.56 up $2.08 from April 5. Packers saw profits of $180 per head last week, $24 higher than the previous week. The Beef and Pork Profit Trackers are calculated by Sterling Marketing Inc., Vale, Ore.

A year ago cattle feeders were losing an average of $37 per head. Feeder cattle represent 73% of the cost of finishing a steer compared with 75% a year ago.

Farrow-to-finish pork producers saw their margins fall $1 per head with profits of $38 per head. Lean carcass prices traded at $77.87 per cwt., $0.51 per cwt. lower than the previous week, and $24.04 higher than a month ago. A year ago pork producer margins were negative $18 per head. Pork packer margins averaged a profit of $4 per head last week.

Sterling Marketing president John Nalivka projects cash profit margins for cow-calf producers in 2019 will average $144 per cow. That would be modestly lower compared to the $161 estimated average profit for 2018. Estimated average cow-calf margins were $164 in 2017, $176 in 2016, and $438 per cow in 2015.

For feedyards, Nalivka projects an average profit of $77 per head in 2019, which would be $53 better than the average of $24 per head in 2018. Nalivka expects packer margins to average about $156 per head in 2019, about $14 less than in 2018.

For farrow-to-finish pork producers, Nalivka projects an average loss of $14.60 per head in 2019, as compared with an average profit of $1.35 per head in 2018. Pork packers are projected to earn $21 per head in 2019, about $3 less than the $20 per head profits of 2018.

Profit Tracker: Feedyard Margins Dip $31 Per Head

Fri, 07 Jul 2023 19:17:04 GMT

Cattle feeding margins dipped more than $31 per head lower last week to average $157. The loss in profitability was due to an average $1.86 per cwt. decrease in cash cattle prices, according to the Sterling Beef Profit Tracker .

Profit margins for pork producers dropped $3.08 per head last week to $72.59 per head. The decrease was tied to a $0.22 per cwt. loss in negotiated cash prices. Both beef and pork margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were $271 per head more than at the same time last year when $114 per head losses were recorded. Beef cutout values remained steady with a slight increase, and packer margins increased $67.41 per head, leaving packers with per head gains of $20.89. A week ago packers recorded losses of $46 on every animal processed, while profits totaled $93 per head at the same time last year.

Farrow-to-finish hog margins posted a loss from last week, and are now more than $14.50 per head less than last month. Pork packers saw their margins increase slightly last week, with the average at $1.85 in the profit column for every animal processed.

The spike in both cattle feeding and farrow-to-finish profits this spring is due to significantly higher cash prices and lower overall feed prices. Cash prices for fed cattle are nearly $21 per cwt. higher than last year, and negotiated hog prices are $19 per cwt. higher than last year.

Profit Tracker: Feedyard Margins Top $200 Per Head

Fri, 07 Jul 2023 19:17:04 GMT

Cattle feeding margins jumped nearly $20 per head higher last week to average $216. The increase in profitability was due to an average $0.42 per cwt. increase in cash cattle prices and a decline in total feed costs for the calculated feeding period, according to the Sterling Beef Profit Tracker .

Profit margins for pork producers rose $4.97 per head last week to $80.60 per head. The increase was tied to a $0.35 per cwt. improvement in negotiated cash prices. Both beef and pork margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were $319 per head more than at the same time last year when $103 per head losses were recorded. Beef cutout values declined nearly $6 per cwt. last week, and packer margins declined $64 per head, leaving packers with per head losses of $47. A month ago packers recorded losses of $63 on every animal processed, while profits totaled $15 per head at the same time last year.

Farrow-to-finish hog margins posted the first gain in several weeks, and are now about $20 per head less than last month. Pork packers saw their margins decline slightly last week, with the average at $3..44 in the loss column for every animal processed.

The spike in both cattle feeding and farrow-to-finish profits this spring is due to significantly higher cash prices and lower overall feed prices. Cash prices for fed cattle are more than $22 per cwt. higher than last year, and negotiated hog prices are more than $22 per cwt. higher than last year.

Profit Tracker: Packer Margins Top $200

Fri, 07 Jul 2023 19:17:04 GMT

Both cattle feeding and packer margins improved last week, even as cash fed cattle prices dipped another $1 per cwt. Feedyard margins gained $11 per head for an average profit of $69, while packer margins improved $40 per head to $204, according to the Sterling Profit Tracker.

For the week ending May 24, cash cattle sold for an average of $115.30 per cwt., while the beef cutout closed the week at $218.31, up $0.31 from May 17. The Beef and Pork Profit Trackers are calculated by Sterling Marketing Inc., Vale, Ore.

A year ago cattle feeders were losing an average of $80 per head. Feeder cattle represent 71% of the cost of finishing a steer compared with 70% a year ago.

Farrow-to-finish pork producers saw their margins decline $1 per head with profits of $49. Lean carcass prices traded at $83.02 per cwt., $1.62 per cwt. higher than the previous week, and $0.47 lower than a month ago. A year ago pork producer margins were positive $17 per head. Pork packer margins averaged a loss of $5 per head last week.

Sterling Marketing president John Nalivka projects cash profit margins for cow-calf producers in 2019 will average $153 per cow. That would be modestly lower compared to the $161 estimated average profit for 2018. Estimated average cow-calf margins were $164 in 2017, $176 in 2016, and $438 per cow in 2015.

For feedyards, Nalivka projects an average profit of $72 per head in 2019, which would be $48 better than the average of $24 per head in 2018. Nalivka expects packer margins to average about $167 per head in 2019, about $2 less than in 2018.

For farrow-to-finish pork producers, Nalivka projects an average profit of $17.50 per head in 2019, as compared with an average profit of $1.35 per head in 2018. Pork packers are projected to earn $15 per head in 2019, about $5 less than the $20 per head profits of 2018.

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Profit Tracker: Spring Erosion Continues

Profit Tracker: Significant Rise

Fri, 07 Jul 2023 19:17:02 GMT

Profit margins for cattle feeders rose significantly in the past week, while pork producers saw a slight decrease from their still profitable farrow to finish operations.

Cattle feeders recorded average profits of $357.58 per head last week, more than $77 per head higher than the previous week, according to the Sterling Beef Profit Tracker . The margins represent a $506 per head improvement over the average losses of $148.49 recorded last year at this time, according to estimates developed by John Nalivka, president of Sterling Marketing, Vale, Ore.

Beef cutout values were up $4.12 per cwt. last week, and beef packer margins increased $3.40 per head to end the week with proits of $71.50 per head. A month ago packers saw profits of $80.89 on every animal processed, and gains totaled just $17.69 per head at the same time last year.

Farrow-to-finish hog margins declined $9.09 per head but profits remain more than $102 per head. That is nearly an $85 difference from last year when pork producers saw only a $17.59 profit. Negotiated cash hog prices declined $4.13 per cwt. to $128.01 per cwt. Pork packers were estimated to make $5.26 for every animal processed.

The spike in both cattle feeding and farrow-to-finish profits this summer is due to significantly higher cash prices and lower overall feed prices. Cash prices for fed cattle are more than $44 per cwt. higher than last year, and negotiated hog prices are nearly $27 per cwt. higher than last year.

Profit Tracker: Feedyard Margins Rebound

Fri, 07 Jul 2023 19:17:02 GMT

Cattle feeding margins increased nearly $8 per head higher last week to average $164. The slight increase in profitability was due to steady cash cattle prices and a decline in the average cost of gain, according to the Sterling Beef Profit Tracker .

Profit margins for pork producers held steady last week at $72.66 per head. Negotiated cash hog prices were reported at $1 per cwt. lower for the week, offset by declining feed costs. Both beef and pork margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were $273 per head more than at the same time last year when $109 per head losses were recorded. Beef cutout values increased $3 per cwt. last week, and packer margins improved $42 per head, leaving packers with per head profits of $62. A month ago packers recorded profits of $17 on every animal processed, while profits totaled $85 per head at the same time last year.

Farrow-to-finish hog margins are roughly at the same place they were a month ago, though significantly better than last year’s $4.65 per head profits. The spike in both cattle feeding and farrow-to-finish profits this spring is due to significantly higher cash prices and lower overall feed prices. Cash prices for fed cattle are nearly $21 per cwt. higher than last year, and negotiated hog prices are more than $16 per cwt. higher than last year.

Profit Tracker: Beef Rising, Pork Falling

Fri, 07 Jul 2023 19:17:02 GMT

Profit margins for cattle feeders moved higher last week while pork producers saw a dip in profitability. Both sectors remain solidly profitable.

Cattle feeders recorded average profits of $381.70 per head last week, about $24 per head more than the previous week, according to the Sterling Beef Profit Tracker . The margins represent a whopping $506.53 per head improvement over the average losses of $124.83 recorded last year at this time, according to estimates developed by John Nalivka, president of Sterling Marketing, Vale, Ore.

Beef cutout values improved $8.64 per cwt. last week, boosting beef packer margins to $81.12 per head to end the week. A month ago packers recorded profits of $47.75 on every animal processed, compared to just over $10 per head at the same time last year.

Farrow-to-finish hog margins declined $10.43 per head with average profits at more than $91 per head. Negotiated cash hog prices dipped by $4.73 per cwt. to $123.28 per cwt. Pork packers were estimated to earn $8.49 for every animal processed.

The spike in both cattle feeding and farrow-to-finish profits this summer is due to significantly higher cash prices and lower overall feed prices. Cash prices for fed cattle are more than $45 per cwt. higher than last year, and negotiated hog prices are more than $24 per cwt. higher than last year.

Profit Tracker: Feedyard Margins Rising

Fri, 07 Jul 2023 19:17:02 GMT

As America’s cattle market continues to defy historical trends, cattle feeding margins have benefited with solid profits most of the year. So far, June has produced weekly increases to per head feedyard profit margins, a rare occurrence in historical feedyard closeout data.

Last week saw cattle feeding margins increase $8 per head to an average of $172. The modest increase in profitability was due to $1 higher cash fed cattle prices and a slight decline in the average cost of gain, according to the Sterling Beef Profit Tracker .

Profit margins for pork producers recorded slight gains last week at $74.74 per head. Negotiated cash hog prices were reported at $1.50 per cwt. higher for the week while feed costs declined slightly. Pork packers recorded average profits of $9.56 per hog last week, up from the $3 profits they earned the week before. Both beef and pork margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were $306 per head more than at the same time last year when $133 per head losses were recorded. Beef cutout values declined $1.44 per cwt. last week, and packer margins declined $14 per head, leaving packers with per head profits of $47. A month ago packers recorded losses of $47 on every animal processed, while profits totaled $61 per head at the same time last year.

Farrow-to-finish hog margins are about $6 per cwt. below where they were a month ago, though significantly better than last year’s $7.35 per head profits. The spike in both cattle feeding and farrow-to-finish profits this spring is due to significantly higher cash prices and lower overall feed prices. Cash prices for fed cattle are nearly $24 per cwt. higher than last year, and negotiated hog prices are more than $14 per cwt. higher than last year.

Profit Tracker: Feedyard Margins Steady

Fri, 07 Jul 2023 19:17:02 GMT

Last week saw cattle feeding margins decrease $2.38 per head to an average profit of $170. The modest decline in profitability was due to higher cash costs for feeder cattle against fed cattle marketed last week, according to the Sterling Beef Profit Tracker .

Profit margins for pork producers recorded gains last week of $8.01 per head for average profits of $74.74 per head. Negotiated cash hog prices were reported at $5.65 per cwt. higher for the week while feed costs declined slightly. Pork packers recorded average profits of $4.26 per hog last week, down from the $9.69 per head profits they earned the week before. Both beef and pork margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were $367 per head more than at the same time last year when $196 per head losses were recorded. Beef cutout values increased $3.90 per cwt. last week, and packer margins declined $24 per head, leaving packers with per head profits of $23. A month ago packers recorded losses of $47 on every animal processed, while profits totaled $71 per head at the same time last year.

Farrow-to-finish hog margins are about $6 per cwt. above where they were a month ago, and significantly better than the $18 per head profits seen last year. Cash prices for fed cattle are nearly $30 per cwt. higher than last year, and negotiated hog prices are more than $15 per cwt. higher than last year.

Profit Tracker: Feeding Margins Near $200

Fri, 07 Jul 2023 19:17:02 GMT

Cattle feeders saw a significant, unseasonal bump in profit margins last week. Mid-June typically finds cash fed cattle prices drifting lower as supplies increase. Last week , however, produced a fed cattle market steady to $2 higher, and the result was nearly a $25 increase in per head profits.

Cattle feeding margins jumped to $194 per head last week, according to the Sterling Beef Profit Tracker . Likewise, pork producers experienced a near $10 per head bump in profit margins. Farrow to finish margins are now more than $91 per head. Both beef and pork profit margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were $373 per head more than at the same time last year when $179 per head losses were recorded. Beef cutout values increased nearly $7 per cwt. last week, and packer margins increased more than $25 per head, leaving packers with per head profits of $49.39. A month ago packers recorded profits of $20 on every animal processed, while profits totaled $81 per head at the same time last year. Pork packers saw a slight decrease in profit margins from $4.15 to $3.98 per head last week.

Farrow-to-finish hog margins are about $19 per cwt. above where they were a month ago, and significantly better than the $24 per head profits seen last year. Cash prices for fed cattle are nearly $30 per cwt. higher than last year, and negotiated hog prices are more than $19 per cwt. higher than last year.

Profit Tracker: No Dog Days Here

Fri, 07 Jul 2023 19:17:02 GMT

The dog days of summer are nowhere to be found with profits continuing to increase for both cattle and hog producers. Cattle feeders recorded average profits of $280.08 per head last week, up significantly from the previous week, according to the Sterling Beef Profit Tracker. The margins represent a $442 per head improvement over the average losses of $162 recorded last year at this time, according to estimates developed by John Nalivka, president of Sterling Marketing, Vale, Ore.

Beef cutout values increased $6 per cwt. last week, while beef packer margins saw a big swing increasing by $31.95 to a margin of $81.07 per head. A week ago packers were making just $49.12 on every animal processed, and earnings totaled a little less at $73.15 per head the same time last year.

Farrow-to-finish hog margins increased $10.20 per head to more than $101 per head. Negotiated cash hog prices rallied almost $6 per cwt. to $127.22 per cwt. Pork packer margins saw a down turn with losses of $0.18 per head, compared to a profit of $3.87 last week.

The continued rise in both cattle feeding and farrow-to-finish profits is due to significantly higher cash prices and lower overall feed prices. Cash prices for fed cattle are nearly $35 per cwt. higher than last year, and negotiated hog prices are approximately $25 per cwt. higher than last year.

Cow-calf producers have also seen a drastic change in profit margins compared to the past few years. Currently producers are averaging $480 in profit per cow, that’s nearly double the $243.05 made last year and more promising than the $153.60 margin reported in 2011.

Profit Tracker: Feeding Margins Remain Above $300

Fri, 07 Jul 2023 19:17:02 GMT

Despite a $17 per head decline, average feedyard margins remained above $300 last week. Fed cattle prices dipped $2 to $3 per cwt., but lower breakevens on outgoing cattle supported solid profts, according to the Sterling Beef Profit Tracker . Farrow to finish pork margins increased nearly $7 per head to $110. Both beef and pork profit margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were a whopping $490 per head more than at the same time last year when $187 per head losses were the norm. Beef cutout values increased nearly $3 per cwt. last week, helping packers improve their margins by nearly $5 per head. Per head packer profits last week were estimated at $52. Packer profits totaled $59 per head at the same time last year. Pork packers saw a slight decrease in profit margins from a $2.37 per head profit to a 52-cent per head loss.

Farrow-to-finish hog margins are about $28 per cwt. above where they were a month ago, and significantly better than the $20 per head profits seen last year. Cash prices for fed cattle are nearly $37 per cwt. higher than last year, and negotiated hog prices are $31 per cwt. higher than last year.

Profit Tracker: Feeding Margins Decline $70 Per Head

Fri, 07 Jul 2023 19:16:59 GMT

Cattle feeding margins declined $70 per head last week, but remain more than $280. That’s a tidy profit, especially considering feedyards were losing more than $83 per head at the same time last year. The decline in profit margins was due to a $2.50 per cwt. decline in fed prices last week and breakevens that were nearly $3 per cwt. higher than the previous week, according to the Sterling Beef Profit Tracker . Farrow to finish pork margins declined nearly $14 per head to $77.80. Both beef and pork profit margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were a whopping $368 per head more than at the same time last year. Beef cutout values remained nearly steady, but packer margins improved nearly $16 per head last week to total $108 per head. Packer profits totaled $3 per head at the same time last year. Pork packers saw a $5 per head increase in profit margins to nearly $14 per head.

Farrow-to-finish hog margins are about $32 per lower than they were a month ago, but significantly better than the $30 per head profits seen last year. Cash prices for fed cattle are nearly $39 per cwt. higher than last year, and negotiated hog prices are $16 per cwt. higher than last year.

Profit Tracker: Feeding Margins Drop $87 Per Head

Fri, 07 Jul 2023 19:16:59 GMT

Cattle feeding margins declined $87 per head last week, but remain near $200. That’s a tidy profit, especially considering feedyards were losing more than $41 per head at the same time last year. The decline in profit margins was due to a $5 per cwt. decline in fed prices last week, according to the Sterling Beef Profit Tracker . Farrow to finish pork margins declined $16 per head to $61.74. Both beef and pork profit margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were a whopping $240 per head more than at the same time last year. Beef cutout values declined about $5 per cwt., and packer margins improved $2 per head last week to total $112 per head. Packer profits totaled $9 per head at the same time last year. Pork packers saw a $7 per head decline in profit margins to $7.23 per head.

Farrow-to-finish hog margins are about $50 per lower than they were a month ago, but significantly better than the $25 per head profits seen last year. Cash prices for fed cattle are nearly $31 per cwt. higher than last year, and negotiated hog prices are $10 per cwt. higher than last year.

Profit Tracker: Losing Steam

Fri, 07 Jul 2023 19:16:59 GMT

Profitability for both cattle and hog producers has been losing steam for the past month, but things could be a lot worse. Cattle feeders recorded average profits of $162.67 per head last week, down more than $35 from the previous week, according to the Sterling Beef Profit Tracker . The margins represent a $222 per head improvement over the average losses of $59 recorded last year at this time, according to estimates developed by John Nalivka, president of Sterling Marketing, Vale, Ore.

Beef cutout values dropped almost $6 per cwt. last week, while beef packer margins saw an increase nearly $8 per head. A week ago packers were making just under $111 on every animal processed, and earnings totaled almost ten times worse at the same time last year when packers made $14.62 per head.

Farrow-to-finish hog margins dropped $21.42 per head this week. Negotiated cash hog prices fell $10 per cwt. to $99.72 per cwt. Pork packer margins saw a jump with profits of $11 per head, compared to a profit of $7.35 last week.

Cash prices for fed cattle are more than $30 per cwt. higher than last year, and negotiated hog prices are approximately $25 per cwt. higher than last year.

Profit Tracker: Cash Rally Fuels Higher Feeding Profits

Fri, 07 Jul 2023 19:16:59 GMT

Cattle feeding margins improved $27 per head last week pushing average profits above $227 per head. Profits jumped higher on a $4 per cwt. advance in cash prices despite a $6 per head increase in feed costs, according to the Sterling Beef Profit Tracker . A year ago cattle feeding margins sat at $89 per head. Farrow to finish pork margins held steady at slightly more than $63 per head. Both beef and pork profit margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Futures markets attempted to pull cash down last week, but smaller show lists and strength in the boxed beef trade resulted in $2 to $4 gains for cash fed cattle. Prices were mostly $164 to $167 per cwt. live and $258 to $263 per cwt. dressed. Cattle feeders are seeking higher prices this week.

With the Choice cutout improving nearly $7 per cwt. last week, packer margins improved significantly, though packers continue to lose $40 on every animal processed. At this time last year packers were losing about $65 per head. Pork packers saw their average profits increase about $3.50 per head last week to more than $22.

Cash prices for fed cattle are nearly $36 per cwt. higher than last year, and negotiated hog prices are $17 per cwt. higher than last year.

Nalivka projects average cash profit margins for cow-calf producers at $527 per cow this year. Last year’s estimated average cow-calf margins were $243 per cow.