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Increases in organic livestock production presents opportunity for feed grains

A new report says increases in organic livestock production in the U.S. should lead to more demand for organic feed grains.

Ag economist Ryan Koory with Mercaris tells Brownfield for the 2017/2018 marketing year, organic boiler slaughter increased by seven percent, on top of a 20 percent year over year growth the prior marketing year.  “In terms of total volumes of meal demand increases, it means significant growth of how much soybeans, corn and wheat are moving into the animal feed supply chain.”  Organic egg production increased by 11 percent during the same period.

He says organic dairy production has slowed down compared to other livestock sectors, but it also saw modest growth, up two percent in August compared to last year.  “I think within the dairy sector, what we are going to continue to see is continued expansion into value-added dairy products, things like yogurts, nonfat milk and things of those nature that can go into baby food.”

Koory says the organic livestock sector is at a severe deficit for feed supplies and more should be done to encourage farmers to produce domestic organic crops like soybeans to meet that demand.

Mercaris is market intelligence provider and online trading platform for organic, non-GMO and certified commodities.

AUDIO: Brownfield interview with Ryan Koory