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December 29, 2008

 

Australia's cattle feedlots benefitting from lower grain prices

  
  

The sharp fall in grain prices have led to Australia's feedlot buyers resuming cattle purchases.

 

The feedlot of Kidman & Co. in South Australia, which closed doors in November, has reopened and started buying all the cattle they could get.

 

This is a complete turnaround for the industry, as high feed prices in the third quarter of the year made feedlot cattle an unattractive commercial venture.

 

Most cattle go into feedlots for 70-90 days for finishing off, where they consume between 12-16 kg of grain per day until getting to a carcass weight of 350-370 kg deadweight for the Japanese and South Korean cattle market.

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