Final Corn Study Handout · Final Corn Study Handout Author: Visme Created Date: 3/30/2020 11:06:30...
Transcript of Final Corn Study Handout · Final Corn Study Handout Author: Visme Created Date: 3/30/2020 11:06:30...
Feed Cut Out for Pork Feed Cut Out for Beef
In 2018, the value of red meat exports to
CORN $1.62 billion
(production multiplied by added $/bu)
Without red meat exports, corn growers wouldhave lost $5.7 billion in corn revenue in 2018
Exporting Corn throughU.S. Beef and Pork
The projectedThe projectedThe projectedvalue of red meatvalue of red meatvalue of red meatexports toexports toexports to corn corn corn corn
from 2018-2027from 2018-2027from 2018-2027
$19 $19 $19 BillionBillionBillion
$3.2$3.2$3.2BillionBillionBillion
The projectedThe projectedThe projectedvalue of red meatvalue of red meatvalue of red meatexports to exports to exports to DDGSDDGSDDGSDDGSfrom 2018-2027from 2018-2027from 2018-2027
DDGS $291 million
(production multiplied by added $/bu)
(Dried Distillers Grains)
In 2018 red meat exportsIn 2018 red meat exportsIn 2018 red meat exports
contributedcontributedcontributed 11%11%11%ofofof bushel value bushel value bushel value
$0.39$0.39$0.39from red meat exports from red meat exports from red meat exports
at an average ofat an average ofat an average of
$3.53$3.53$3.53per bushelper bushelper bushel
of U.S. beefof U.S. beefof U.S. beefis exportedis exportedis exported13.5%13.5%13.5%
$317.15Value per head of fedValue per head of fedValue per head of fed
cattle slaughteredcattle slaughteredcattle slaughteredfrom U.S. beef exportsfrom U.S. beef exportsfrom U.S. beef exports
Top Beef Value Export MarketsJapan Korea MexicoChina/Hong KongCanada Taiwan
of U.S. porkof U.S. porkof U.S. porkis exportedis exportedis exported25.8%25.8%25.8%
$54.38Value per head ofValue per head ofValue per head of
hogs slaughtered fromhogs slaughtered fromhogs slaughtered fromU.S. pork exportsU.S. pork exportsU.S. pork exports
Top Pork Value Export Markets
Japan MexicoChina/Hong KongCanadaKorea
Information based on 2018 USDA Hog and Cattle Market Data
Since 2015, beef andpork exports have used
DDGS
Beef and Pork exports have been the
FASTEST GROWINGcategory of corn use
since 2015
35% more35% more35% more
24%
9%8%
Beef & Beef & Beef & PorkPorkPorkExportsExportsExports 29%29%29%
Rate of Growth in Corn UseRate of Growth in Corn UseRate of Growth in Corn Use2015 - 2018
Direct Exports
Ethanol
Total Feed
1 in 4 bushels of increased feed use
was exported through beef and pork
2018 EstimatedMarket Price& ExportPremium
The export premium directly impacts livestock finishers’ capacity to cover feed costs. A positiveexport premium adds to the profitability of feeding, which helps both the feeder and the corn farmer.
2018 estimates for value per head, Jan-Oct 2018 data for percentage exported includes variety meats
$26.01
$92.85
$19.22
$23.44
Barrow/Gilt
Fed Steer
$0 $20
$40
$60
$80
$100
$120
$140
Barrow/Gilt
Fed Steer