How much are Alberta livestock producers getting?
The $300 million in direct payments being made to Alberta livestock producers will provide significant support. Now that more details are available, we know that the payments will total just over $52 per breeding cow, plus 12.8 cents per pound of gain on market animals. All this is based on 2006 inventory. Most producers won’t need to apply because the government already has all the numbers it needs. For a cow-calf producer with 100 cows who raises 95 calves and sells them at a weight of 600 pounds, it appears the payments will total over $12,000. The support will be even sweeter for many feedlots. Take a moderate-sized Alberta feedlot that buys 10,000 calves a year and adds 500 pounds of weight to each of those calves before selling them. As I calculate it, the support for that feedlot will be $640,000. You can do the math for feedlots that finish 20,000, 40,000 or 80,000 calves a year. Payments will also be significant for Alberta hog producers. The payment per sow or boar is $40.25
