News and analysis on the global poultry
and animal feed industries.
on August 5, 2010

Production, feed costs for July 2010

EIC release predicts increased prices

The July 26 Layer Feed Price and Costs newsletter issued by the Egg Industry Center indicates an increase in feed prices and hence cost of production. Average U.S. feed cost increased by $2.89 per ton to $205.40 per ton compared to June. Production cost ex-farm/house advanced by 1.43 cents per dozen from June to 58.41 cents per dozen in July. Feed price by region ranged from $180.80/ ton in the Midwest to $223.00/ton in California. Production cost ranged from 53.54 cents per dozen in the Midwest to 62.07 cents per dozen in California.

Production cost included feed, labor (at 4 cents per dozen), buildings and equipment (at 2.9 cents per dozen), interest (at 1.8 cents per dozen) and miscellaneous cost (at 6 cents per dozen). The major contributor to the regional difference in feed cost was the differential in corn and soybean meal amounting to $52.70 per ton for corn and $31.80 per ton for soybean meal comparing Midwest and California ingredient prices respectively.

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