US Grain Production - Summary 1. Total planted acres are slowly declining. 2. The big two - corn and soybeans - are getting bigger in terms of acres planted and production. 3. Add wheat and hay acres to corn and soybeans, and you have 88% of total planted acres. 4. Increasing production is a function of increasing yields, and yield gains continue to increase but at a slower rate.
53 Applied Economics 3411/5411, 2018 Lecture Notes Copyright © 2018 Edward Usset. All rights reserved. Livestock and dairy production, animal numbers and productivity : Beef cow numbers peaked in the mid-1970s at 45 million head. At 31 million head today, beef cow numbers are down 33% from their high. Productivity in the beef industry is a function of slaughter weights, and they are growing - up nearly 20% since 1990. 1,100 1,150 1,200 1,250 1,300 1,350 1,400 25,000 27,000 29,000 31,000 33,000 35,000 37,000 lbs./head, live basis 1,000 head U.S. Beef Cattle and Slaughter Weights, 1990-2017 Beef cows Cattle slaughter weights at federally inspected facilities
54 Applied Economics 3411/5411, 2018 Lecture Notes Copyright © 2018 Edward Usset. All rights reserved. Unlike beef cows, hogs number have not peaked and continue to grow. Hog productivity, as measured by the litter rate, also continues to grow. Improving litter rates and a shorter life cycle give pork a distinctive cost advantage over beef. 7.5 8.0 8.5 9.0 9.5 10.0 10.5 11.0 85 90 95 100 105 110 115 120 125 pigs per litter million head U.S. Hogs Slaughtered and Litter Rate, 1990-2017 hogs slaughtered Pigs/litter
55 Applied Economics 3411/5411, 2018 Lecture Notes Copyright © 2018 Edward Usset. All rights reserved. Dairy cow numbers remain steady, but milk production continues to grow, thanks to a remarkably steady growth in milk production per cow. The average milk cow is producing 55% more milk than just 30 years ago. Poultry is the fastest growing part of the meat business. Broiler production has increased six- fold since 1970, and more than doubled since 1990. Broiler productivity is more difficult to measure, but a comment from Penn State Extension goes a long way towards explaining the rapid changes occurring in broiler production. “The modern broiler industry has developed a hybrid that is unlike any other breed. Today’s broiler can achieve a 5-pound market weight in five weeks. Forty years ago, it took 10 weeks to achieve a 4-pound market weight. These advances are the result of scientific progress in genetic, nutritional, and environmental research.” 12,000 14,000 16,000 18,000 20,000 22,000 24,000 6,000 7,000 8,000 9,000 10,000 11,000 12,000 pounds per head 1,000 head U.S. Milk Cows and Productivity, 1990-2018 Number of milk cows on Jan 1 Milk production per head
56 Applied Economics 3411/5411, 2018 Lecture Notes Copyright © 2018 Edward Usset. All rights reserved. U.S. Livestock and Dairy Production - Summary 1. Beef cow numbers are slowly declining, while hog numbers continue to increase. 2. Dairy cow numbers are steady but milk production continues to grow as milk per cow has increased over 50% in the past 3 decades.
You've reached the end of your free preview.
Want to read all 212 pages?
- Spring '14
- Supply And Demand, Edward C. Usset