Feeder cattle price differentials using Northeast Texas Beef Improvement Organization Sulphur Springs and cattle auction data.

摘要

he United States is a major contributor to the world's beef production market with its large export market and the largest fed cattle industry in the world (United States Department of Agriculture, 2016). Price fluctuations are sources of risk to producers who are looking to profit from cattle production. Factors such as futures prices, physical and lot characteristics of cattle have been known to also effect cash prices. The objective of this study is to identify inherent market value for feeder cattle lot and physical characteristics of the Northeast Texas Beef Improvement Organization (NETBIO) cattle sold through Sulphur Springs Livestock Auctions (SSLA). NETBIO data over four years from Sulphur Springs Livestock Auction sales in Northeast Texas were used.;Therefore, a hedonic regression model was used to analyze the impact of lot size, weight, sex, and breed and feeder cattle futures prices on feeder cattle cash prices. The results showed that lot size, weight, sex, breed or color and feeder cattle futures prices were significant variables in determining differences in feeder cattle cash prices. In particular, results showed that heifers were discounted at a price of