Added May 20, 2013.
Feed Price Update: May 15th 2013
National Organic Grain and Feedstuffs Report
The following information is provided by the USDA livestock and Grain Market News who produce one national report.
Trading in organic grain and feedstuffs has been mostly steady. Market activity on feed corn, especially in the Eastern Cornbelt region has been active as some sellers were looking to move some inventory. Prices on soybeans are decreasing as new supplies become available but asking prices remain higher than mills are willing to pay at this time. I visited with a federal inspector from the Midwest this week and he feels we will lose a lot more producers before the summer is over with the feed and land issues. He said he hasn't seen such conditions on farms in the 30 years he has been inspecting with many areas lacking attention and places slipping backwards fast. He remarked that much of the small grains and alfalfa was lost this winter as conditions were just not good for those crops. Those producers who have low to no feed on inventory and their pasture is not coming along very quickly will be find it difficult to restore their farm to profitability.
While soybean prices have lowered slightly, some buyers continue to import grains from overseas due to prices and availability. Barley trade has not been in the forefront of recent trading, due largely to the bulk of that commodity being imported from Canada, South America, and some reports say China.
Feed grade wheat was higher as a result of livestock producers feeding more wheat than anticipated earlier this year due to high corn prices. Feed wheat remains in the area of $2.00 over the protein point in all regions this period.
Alfalfa hay in Iowa: Supreme quality is $335.00; Premium is $300.00, and Good grade is $285.00. Oregon alfalfa: Good quality has been traded at $265.00. California: (Large squares) Supreme $295, Premium $285 and Good $275. All hay prices are reported on a per ton bases. Quality hay is difficult to find in the northeast.
Organic Future contracts
Feed Grain Corn – New Crop |
$12-13.25 for delivery in Oct 2013-Feb 2014 |
|
Barley – New Crop |
$9.04 for delivery in Fall 13- Spring 2014 |
|
Feed Grade Soybeans – New Crop |
$25-26.00 for delivery in Oct-Dec 2013 |
Prices negotiated on the spot market, freight on buyer (trucking paid by buyer = FOB) the farm. Prices are quoted based upon $/bushel, except soybean meal ($/ton and FOB the mill) and roasted soybeans, $/ton. Most prices are based on trading in the Midwest, so delivery to other parts of the country has to be added. Hay is reported FOB the stack or barn unless otherwise noted.
|
|
May 2013 |
April 13 |
March 2013 |
Ist qtr. 13 |
March 2012 |
|
Feed Grade Corn |
13.15 |
13.29 |
14.44 |
14.37 |
12.55 |
|
Food Grade Soybeans |
|
28.0 |
28.71 |
29.2 |
25.58 |
|
Feed Grade Soybeans |
25.53 |
25.75 |
26.67 |
26.54 |
24.61 |
|
Feed Grade Oats |
|
6.17 |
5.85 |
6.05 |
5.20 |
|
Feed Grade Barley |
11.63 |
11.26 |
11.25 |
11.23 |
12.61 |
|
Food Grade Wheat |
14.51 |
|
15.38 |
15.42 |
15.4 |
|
Feed Grade Wheat |
12.5 |
13.5 |
14.24 |
14.29 |
10.22 |
|
Soybean meal |
$1095/ton |
$1,115/ton |
$1,127/ton |
$1,139/ton |
1050/ton |
|
Feed Grade Peas |
|
15.6 |
|
21.8 |
|
|
Organic Alfalfa - Premium |
$300/ton |
$335/ton |
|
|
|
|
Organic Alfalfa – Good |
$275/ton |
$285/ton |
$250/ton |
|
|
|
Organic Grass Hay |
|
|
|
|
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The Farm Price Barometer highlights the failure of price to farmers and growers increasing with comparable increase in inputs and comparable prices. Organic prices for grain are comparable to parity or higher which reflects the true costs for grain farmers. Unfortunately the parity price for organic dairy and livestock does not reflect parity, even using non-organic prices with a parity price of $52 per cwt for non-organic milk and an average organic price of approximately $30/cwt. For a comprehensive article explaining parity prices by Kevin Englebert please go to: http://www.nodpa.com/in_parity_pricing_012213.shtml
Commodity |
Current Organic price |
Non-organic parity price |
% of Parity |
|
Crops |
|
|
|
|
Barley (bushel) |
$ 11.25 |
$ 12.60 |
89% |
|
Corn (bushel) |
$ 14.49 |
$ 12.00 |
121% |
|
Cotton, Upland (lb) |
$ 1.50 |
$ 2.08 |
72% |
|
Flaxseed (bushel) |
$ 38.71 |
$ 31.80 |
122% |
|
Oats (bushel) |
$ 5.75 |
$ 7.60 |
76% |
|
Peanuts (lb) |
|
$ 0.75 |
0% |
|
Rice (cwt) |
$ 25.00 |
$ 42.20 |
59% |
|
Sorghum Grain (cwt) |
$ 35.00 |
$ 21.10 |
166% |
|
Soybeans (bushel) |
$ 26.72 |
$ 28.90 |
92% |
|
Wheat (bushel) |
$ 14.12 |
$ 18.30 |
77% |
|
|
|
|
|
|
Livestock |
|
|
|
|
Cattle (cwt) |
$ 163.00 |
$ 292.00 |
56% |
|
Hogs (cwt) |
$ 85.00 |
$ 160.00 |
53% |
|
|
|
|
|
|
Dairy/Poultry |
|
|
|
|
Eggs, (dozen) |
$ 2.75 |
$ 2.63 |
105% |
|
Milk, All (cwt) |
$ 30.00 |
$ 52.00 |
58% |
Courtesy of Bob Parsons, University of Vermont
Courtesy of Green Mountain Feeds, University of Vermont and Producers
Current market price for organic dry shelled corn is between $550-650/ton, $620 for corn meal in NY, and organic raw soybeans are between $950-1,050/ ton. Second cut hay is selling for around $200-250/ton and high quality alfalfa hay at $450/ton at the farm.
Located below are the links to latest organic price reports.
National Hay, Feed & Seed Weekly Summary http://www.ams.usda.gov/mnreports/lswfeedseed.pdf
Bi weekly National Organic Grains and Feedstuffs: http://www.ams.usda.gov/mnreports/lsbnof.pdf
Posted: to Organic Pay, Feed & Grain Prices on Mon, May 20, 2013
Updated: Mon, May 20, 2013
