Oklahoma Farm Report masthead graphic with wheat on the left and cattle on the right.
Howdy Neighbors!
Ron Hays, Director of Farm and Ranch Programming, Radio Oklahoma Ag Network  |  2401 Exchange Ave, Suite F, Oklahoma City, Ok 73108  |  (405) 601-9211

advertisements
   
   
   
   
   
   
   

Beef Buzz News


Cow Herd Decline Will Continue Into 2013, Rabobank Analyst Predicts

Wed, 14 Nov 2012 14:08:41 CST

Cow Herd Decline Will Continue Into 2013, Rabobank Analyst Predicts
The beef cattle industry continues to weather the drought throughout the central United States by reducing herd size. Continuing drought, high feed prices, and the lack of forage are contributing factors hampering opportunities to rebuild the nation’s mama cow herd.


Radio Oklahoma Network Farm Director Ron Hays spoke recently with Don Close, a veteran cattle market watcher and Vice President of Rabobank’s Food and Agricultural Research Advisory Group. He says, without a doubt, the drought has hit the industry hard, but the decline may be slowing.


“It set us back, easily, a year if not two years. The one thing that I think we will be, hopefully, pleased to find that when we get the cattle inventory report in January, if you look at the rate of beef cow slaughter that we have had the second half of ’12, that’s never developed at the pace that so many people anticipated that it would. Are we going to see another year of net decline in female numbers? Unquestionably, we will. But, will it be as severe as we were fearing during July and August? Probably not.”


Even with the reduced size of the cow herd, Close says it is important to acknowledge that we are still looking at record beef production. But, he says there are two distinct schools of thought when it comes to looking toward the future.


“Bottom line, we don’t need to rebuild numbers back to the levels we had years ago,” is the position of one group of analysts, he says.


On the other hand, there is a group of analysts who see grasslands in Texas taken out of production for recreational purposes and rangeland in other states, like Oklahoma, being put to other uses to the detriment of future beef production. They say, “If we’re going to bring those numbers back, we’re got to displace a lot of that hunting lease land and, certainly, a way more politically-sensitive topic, but it applies there in Oklahoma with the number of horse programs that are out there taking up cow ground.”


Close says another factor that may hamper herd rebuilding is the undervaluing of grassland across the Central Plains where more and more acres have been put into row crops.


“My personal perspective is there will come a day when we think we’ve probably overdone it and taken out way more of this grass than what we should.”


With all those challenges, is it possible to turn a profit in the beef business in 2013?


“I think as far as prices for fed cattle will undoubtedly be an all-time record year. At the same time the biggest issue that cattle feeders and producers are going to face daily is trying to contain their input costs and trying to preserve a margin,” Close says.


With margins narrowing, Close foresees profits to be had, but with a contraction in the beef industry’s number of producers. He says the winnowing process will go on, favoring the largest producers with the most efficient management.


The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network- but is also a regular audio feature found on this website as well. Click on the LISTEN BAR below for today's show- and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.


   


   

Don Close Beef Buzzes with Ron Hays about declining mama cow numbers.
right-click to download mp3

 

WebReadyTM Powered by WireReady® NSI

 

Beef News

  • Oklahoma National Stockyard's First Female General Manager Kelli Payne Showcases Market's Historical Significance  Tue, 25 Jun 2019 10:53:50 CDT
  • Secure Food Supply Plans Allow Farmers and Ranchers to Take Biosecurity into Their Own Hands  Mon, 24 Jun 2019 12:22:48 CDT
  • RMA's Haying and Grazing Date Adjustment Good News for Cattle Producers Badly in Need of Forages  Fri, 21 Jun 2019 11:40:04 CDT
  • NCBA's Scott Yager Touts Livestock Producers' Regulatory Relief from Superfund Law Under FARM Act  Thu, 20 Jun 2019 11:07:36 CDT
  • Market Watcher Derrell Peel Shares His Advice on How to Build Your Strategy Around Market's Mounting Volatility  Wed, 19 Jun 2019 10:05:52 CDT
  • Prospect of Higher Feed Costs Generating Both Challenges and Opportunities for Cattle Producers  Tue, 18 Jun 2019 11:01:21 CDT
  • Beef Industry Experts Don Close and Kent Bacus Explain Why Mandatory Labelling Isn't So "COOL" After All  Mon, 17 Jun 2019 11:36:49 CDT
  • Rabo Agrifinance’s Don Close Shares His Top Four “Unknown Unknowns” of the Beef Industry in 2019  Fri, 14 Jun 2019 09:29:13 CDT
  • Despite Minor Declines, US Beef Export Business Continues to Perform Well as Fringe Markets Grow  Thu, 13 Jun 2019 13:19:37 CDT
  • Cattle Market Under Pressure as Corn Plantings Continue to Struggle, Adding to Price Weakness  Wed, 12 Jun 2019 11:07:37 CDT
  • Government Cracks Down on Sue and Settle Tactics Employed by Environmental Activist Groups  Tue, 11 Jun 2019 10:28:55 CDT
  • Industry Has Its Work Cut Out for Itself as Wildlife Service Weighs Listing the Lesser Prairie Chicken  Mon, 10 Jun 2019 11:19:40 CDT
  • NCBA's Colin Woodall Calls Out Misconceptions About Fake Meat's Claims of 'Zero-Sum' Production  Fri, 07 Jun 2019 10:49:24 CDT
  • Donnell Brown Proclaims Efficiency the Next Great Frontier, Genomic Enhancement will Get Us There  Thu, 06 Jun 2019 09:53:06 CDT
  • Generational Transfer Happens Whether We're Prepared for it or Not - So Why Not Plan Ahead Now  Wed, 05 Jun 2019 09:42:15 CDT
  • Food Industry Leader John Patrick Lopez Says Sharing Agriculture's Story is Everyone's Responsibility  Tue, 04 Jun 2019 10:15:01 CDT
  • OKC-Based Processor Behind McDonald's Non-Frozen Beef Menu Brings Chain Some Fresh Sizzle  Mon, 03 Jun 2019 11:57:26 CDT
  • China's African Swine Fever Problem Largely Seen as a Positive for US Ag- But What's the Downside  Fri, 31 May 2019 10:20:36 CDT
  • Angus Dollar Value Index Upgraded to Meet Today's Economic Conditions, Dan Moser Explains  Thu, 30 May 2019 10:59:45 CDT
  • Greenhouse Gas Guru, Mitloehner, Says Cow-Fart Protestors Spread More Manure than Beef Industry  Wed, 29 May 2019 09:40:47 CDT
  • USDA Reports Highest May 1 Inventory of Cattle on Feed Since '96 - Derrell Peel Shares His Analysis  Tue, 28 May 2019 10:21:29 CDT
  • Scott Yager Says Beef Industry Pushing Back on Green New Deal Plan to Eliminate Cattle Production  Fri, 24 May 2019 10:38:05 CDT
  • Eco-Activists Muddy the Waters Again with New Supreme Court Filing as WOTUS Debate Wraps Up  Thu, 23 May 2019 09:59:08 CDT
  • Rancher Debbie Lyons-Blythe Defends Beef Industry's Proactive Efforts in Fighting Climate Change  Wed, 22 May 2019 11:18:13 CDT
  • OSU's Market Watcher Derrell Peel Optimistic Stability will Return to Cattle Markets this Summer  Tue, 21 May 2019 11:34:29 CDT
  • Japan Lifts 30-Month Rule on US Beef Imports, Creates Room for Potential $200M in Additional Value  Mon, 20 May 2019 11:59:19 CDT
  • NCBA's Colin Woodall Encourages Producers to Hang Tough as US-China Trade Talks Flare Up  Fri, 17 May 2019 12:08:49 CDT
  • US Meat Exports Fail to Meet Expectations During First Quarter of 2019, Will this Trend Continue?  Thu, 16 May 2019 11:31:30 CDT
  • Time to Turn Heat Up on Trade Talks with Japan, Bacus Says It's Been on the Backburner Too Long  Wed, 15 May 2019 09:50:39 CDT
  • US-China Tensions Flare as Trade Talks Near End, NCBA's Kent Bacus on Trump's Hardball Strategy  Tue, 14 May 2019 10:36:10 CDT
  • Beef Industry Leaders Form International Coalition to Advocate for USMCA's Speedy Ratification  Mon, 13 May 2019 10:45:22 CDT
  • Donnell Brown Proclaims Efficiency the Next Great Frontier, Genomic Enhancement will Get Us There  Fri, 10 May 2019 05:37:48 CDT
  • Slow Corn Planting Caused by Recent Rains Dampen Spirits in Cattle Industry, Derrell Peel Explains  Thu, 09 May 2019 10:42:38 CDT
  • Generational Transfer Happens Whether We're Prepared for it or Not - So Why Not Plan Ahead Now  Wed, 08 May 2019 10:08:19 CDT
  • Food Industry Leader John Patrick Lopez Says Sharing Agriculture's Story is Everyone's Responsibility  Tue, 07 May 2019 10:55:34 CDT

  •  

    Beef Buzz Archives

    Old Archives  |   2010  |   2011  |   2012  |   2013  |   2014  |   2015  |   2016  |   2017  |   2018  |   Jan 19  |   Feb 19  |   Mar 19  |   Apr 19  |   May 19  |   Jun 19  |   Jul 19  |   Aug 19  |   Sep 19  |   Oct 19  |   Nov 19  |   Dec 19
       

    Ron salutes our daily email sponsors!

    Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit P&K Equipment Tulsa Farm Show AFR Insurance Stillwater Milling KIS FUTURES, INC. Oklahoma Cattlemen's Association

    Search OklahomaFarmReport.com


       
       
    © 2008-2019 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup   |    Current Spots   |    Program Links

    WebReady powered by WireReady® Inc.