STRONG calf prices entice cow-calf producers to expand their cow herds. Ron Gustafson, USDA economist, says, "although the cattle sector has been reducing cow slaughter and retaining heifers for the expansion phase of the new cattle cycle, beef production will not rise significantly until mid-2007." Deteriorating forage conditions in late 2005 could slow expansion. "Feedlot and stocker operator returns have been very erratic due to the record stocker/feeder cattle prices and difficulty in passing the higher calf prices on in the marketing system against relatively lower-priced competing meats," he cautions.
展开▼
