Packer Feeding of Cattle: Its Volume and Significance

Arnold Aspelin and Gerald Engelman

No 312415, Marketing Research Reports from United States Department of Agriculture, Agricultural Marketing Service, Transportation and Marketing Program

Abstract: Excerpts from the report: The growth in livestock feeding by meat packers has been an important development in the livestock and meat industry. To many livestock feeders and producers, packer feeding has been an object of particular interest and, sometimes, of concern. Farmers see an upward trend in packer feeding as a shift of livestock feeding out of traditional agricultural enterprise into a vertically integrated, industrial production process. They have already seen virtually all of the broiler production and more than half of the turkey production move under the ownership or control of non-farm firms. Farmers are also fearful of the possible disappearance of the market-price system which permits free and open access to market outlets by independent producers. The price system still serves as the basic mechanism of providing rewards and incentives for livestock producers. The objectives of this study are to indicate the scope of packer feeding of cattle and to visualize its possible market significance. The study covers growth trends and locational patterns for packer feeding of cattle. A statistical analysis is made of packer feeding by an individual packer at one of the major terminal markets in order to determine any significant price effects. The results of the analysis are interpreted on the basis of demand and supply theory for pricing in local markets.

Keywords: Demand and Price Analysis; Livestock Production/Industries; Marketing; Research Methods/Statistical Methods (search for similar items in EconPapers)
Pages: 42
Date: 1966-11
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:ags:uamsmr:312415

DOI: 10.22004/ag.econ.312415

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