AMARILLO,TEXAS -- The U.S. cattle herd dropped to its lowest level since 1958, down to 92 million head of cattle, down 1.6 percent from a year ago. That would be the smallest herd in 53 years.
James Hunt, spokesperson for the Texas Cattle Feeders Association says, "The decline in the national cattle herd has been ongoing since the mid-1970s. There are many factors involved in this contraction. Availability of affordable land is an issue. Prolonged droughts in various regions of the country have been a problem. High prices for calves and feeder cattle have given cow-calf operators an incentive to not hold back heifers for breeding purposes. And bad government policies, such as excessive estate taxes and burdensome environmental regulations that are not founded on sound science, have helped to drive some cattlemen and cattlewomen out of the business."
U.S. beef production is expected to be roughly 26 billion pounds, according to Jim Robb, the director of the Livestock Marketing Information Center who also said the projects total next year is expected to drop to
25.2 billion pounds. While the U.S. Department of Agriculture forecasts a slightly lower number at 25.66 billion pounds this year.
They also show retail prices for ground beef were 8.8 percent more expensive in December than a year ago and they predict the cost of meat this year will rise faster than total food inflation, the USDA projects.
Hunt says that, "It is important to note that even though overall cattle numbers have contracted, total beef production has increased every year. The increased production has been made possible by genetic
improvement, larger carcass weights, and technological advances in cattle health and nutrition."
For KVII viewers, stronger beef prices translate into a healthier condition for a vital contributor to their local economy. Within a 150-mile radius of Amarillo, approximately 3,500 people are directly employed in the
cattle feeding business. And the cattle feeding industry delivers an annual beneficial economic impact of $15 billion to the Amarillo area economy.
After enduring staggering losses in recent years, it is good to see local cattle feeders enjoy the opportunity to turn a profit while producing high quality beef in a wide variety of affordably-priced products."
