Cattle producers are facing a few challenges with grains being used for ethanol rather than feed.

Manager of CanFax Rob Leslie says the higher cost of feed is affecting cattle prices.

Leslie says the costs of feed is going up, driving down feeder cattle prices and making it tougher for the cow-calf producers to break even.

Leslie adding dead cattle prices have been fairly flat but he expects them to get stronger in the second half of the year.

Leslie