news, features, articles and disease information for the sheep industry

All the latest news forSheep | Goats | Llamas | Alpaca


Cost of Gain Hugely Lower for US Lamb Feeders

12 March 2015

US – What Colorado feedlots pay to feed lambs today is 40 per cent below the price paid in the fall of 2012.

In two and a half years the “cost of gain” has plummeted from $1.50 per pound to 90 cents per pound, according to the American Sheep Industry Association (ASIA).

Variation is widespread, however, in how costs are examined. Some only include feed, others account for veterinary costs and death losses, explained the association.

In its latest industry newsletter, ASIA underlined potential confusion in some producers working off pay weight to subsequent sell weight.

“Differences in shrink can affect off-loading weights and thus pay,” said the Association. “In general, the larger the lamb coming into the feed yard, the higher the cost of gain.

“This is because the heavier lambs are not as efficient feed converters and the feeder has to spend more on feed to put on the lbs. In many cases with the heavier lambs, there are also fewer days between off-loading and sending the lamb off to market to spread out costs.”

Corn costs are forecast at $4 per bushel, reined in by record production, the association added. Hay production is still below pre-drought levels but rising.


TheSheepSite News Desk

Top image via Shutterstock

Our Sponsors


Seasonal Picks

The Intuitive Farmer: Inspiring Management Success