Lower Feed Cost

As the agricultural grain market escalates to record levels, cattle breeders are forced to look for new alternatives for lower feed costs with a goal to improve feed efficiency. One of the most talked about advances in the cattle industry is the use of Ethanol by-products utilized as a feed for dairy and beef cattle. These by-products are priced lower than corn and other cattle feed energy sources. They are important in reducing cattle feeding costs that can impact profit margins for all phases of beef production including growing and finishing feedlots. Other uses in will include use in cattle rations for bull tests, replacement heifer development and cow herd feeding.

Corn demand utilized for ethanol production is projected to increase annually as the demand for the alternative fuel rises. Ethanol can be produced by either dry or wet milling the corn, both of which create entirely different by-products, two of the most popular are dried distillers grains (DDG) or corn-gluten feed. Most of these ethanol by-product feedstuffs are utilized by cattle producers or feedlots within a close proximity to the ethanol plants due to the cost of transportation. An alternative option of dried distillers grains is to further dehydrate the feed so it can be more adaptable for long term storage and shipping by conventional methods to distant consumers.

The Search for Lower Feed Cost Looks Towards Ethanol By-Products

The increased production of ethanol, mandated by the US Congress, has increased the demand and prices of corn, soybeans and wheat to record levels. With competition created between a growing export market, ethanol production and the livestock sector the commodity prices are sure to remain high. The by-products are available at a much lower price than the raw products. With the high-protein levels in the distiller grains, the lower cost product permits the usage of lower quality roughages and traditional protein supplements.

As the search for lower cost, more efficient feedstuffs continues, many beef producers have been and will continue to be challenged to adopt new feeding methods and rations. At Cattle Mail USA, we make that easy by offering an online directory of breeders with upcoming sales and email broadcasts that offer one-click access to the seller's information. Call 877-505-0914 or email us at listmanager@cattlemailusa.com for further details.