Making sense of livestock-to-feed ratios

  • Sep 07, 2016
  • 4.5 min watch

FCC Economic Researcher Martha Roberts explains how livestock-to-feed ratios can help you monitor the market and stay profitable.

Did you know that we host learning events across Canada on topics just like this? Find an FCC event near you.

Video Highlights

  • A livestock-to-feed ratio is the price of livestock divided by the price of major feed grain
  • Patterns in the livestock-to-feed ratio help understand trends in profitability
  • Producers who raise livestock and grow grains can use the livestock-to-feed ratio to decide if their grain is worth more as a commodity or as feed
  • Producers who only own livestock can spend less on feed or even liquidate some of their herd if feed prices are too high