Economics
Formulating for the full value of SMB improves both performance and profitability
The Economic Value of Minimum SBM Levels Versus Least-Cost Formulas
A recent comparison of costs and revenue was conducted for two feeding programs aimed at optimizing carcass weight gain during the summer months: one delivering a minimum soybean meal (SBM) content; the other formulated solely on least cost.
After feed costs, carcass weight and mortality income were incorporated, the return per head was $2.99 greater when SMB minimums were enforced, based on a carcass weight value of $1.00/lb. and $400/ton SBM.
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1Large scale commercial trials. Data on file.