A Comparative Analysis of Regional Production Costs of Fed Beef Produced for the U.S. and Japanese Markets

This study compared and analyzed actual 1989 production costs for representative regional feedlots in the U.S. The results show that grain-surplus regions have lower total costs and poorer feeding efficiencies. The analysis suggests that Iowa has a comparative advantage in producing heavily marbled beef required by the Japanese market. Southwestern states have an advantage in producing leaner beef and stand to benefit if U.S. consumers develop a taste for Select-quality beef.