During Cattlemen’s Congress, Senior Farm and Ranch Broadcaster Ron Hays had the opportunity to sit down with Executive Vice President of Production for Certified Angus Beef (CAB) Bruce Cobb. They discussed the quality improvements in beef, the sky-high demand, and the impending herd rebuild and what it will do for the beef industry. This is the second part of that conversation, the first part can be found here.
Cobb said that Certified Angus Beef Prime is one of the most exciting parts of the business. “Last year, we experienced double-digit sales increases in our Certified Angus Beef Prime – production volume, also double-digit. They go hand in hand.”
Even more remarkable was the CAB Prime Cutout Value’s increase in 2024. “That is not what we do in agriculture,” Cobb noted. “It is typically supply that goes way up, and price struggles in a downward cycle. CAB Prime is not doing that. Supply is going up; Price is going up. When those two things come together, that is the sweet spot.”
He explained that consumers drive the markets by sending their signal to the retail and food service operations who then signal the packers.
“Certified Angus Beef Prime is so strong right now that we have implemented a specific strategy this year relative to intentionally growing our Certified Angus Beef Prime production as well as our sales,” Cobb stated.
Part of that equation is finding more qualified cattle. Angus breeders are seeing the benefits of raising qualified cattle. Cobb said, “When you look at the bull sales this past year, region by region, the volume and value of Angus bulls has increased. That signal is not just making it to packers and cattle feeders, it is going all the way down the supply chain and our seed stock producers are benefiting from it by having the opportunity to produce more Angus bulls and at a higher value.”
Certified Angus Beef’s direction for the future is as it has always been: following the direction the consumer indicates.
“When you look at the growth that we expect in 2025 relative to retail demand for Certified Angus Beef, we will bring on more stores. There is no doubt,” Cobb said. “Internationally, our markets in Mexico in the last two years continue to grow and expand, as it relates to not just sales volume, but also the number of retail outlets and food service outlets that want to license with Certified Angus Beef.”
All of these things signal to Cobb that the brand is on the right track by centering their goals on consumer demands. “If we will continue to do that, we will continue to win as an industry and as a breed,” he said.
The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Ag Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR at the top of the story for today’s show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.
