There are two concerns in U.S. cattle markets. First, theres the concern that we would lose beef exports.
More Quotes from Chris Hurt:
However, for hogs and poultry, the question is whether the increased price of corn will be offset by added value in the feed product that is returned. If not, this could mean some restructuring of the location of the U.S. and world animal industries. This appears to be particularly true for the eastern Corn Belt and the southeastern United States where hog, poultry and dairy are more dominant.Chris Hurt
It is too early to tell from the data, but it will be interesting to watch in coming years.
Chris Hurt
Much like the beef herd, heifer retention for herd replacements was up 4 percent and will allow an increase in the number of milk cows by nearly 1 percent this year.
Chris Hurt
I think the reaction on the consumer side will be relatively mild.
Chris Hurt
Beef producers continued to expand the breeding herd for the second year. Beef cow numbers increased by 1 percent during 2005 after a small rise in 2004. The total number of cows increased by 338,000 head and the increase was concentrated in the western Corn Belt, where Missouri increased by 115,000 cows and Iowa by 40,000.
Chris Hurt
Perhaps this is signaling a reversal of the longer-run trend of the breeding herd moving away from the eastern Corn Belt. In 1990, 27 percent of the U.S. breeding herd was in the eastern Corn Belt. That portion declined steadily to a low of only 17.2 percent in 2004.
Chris Hurt
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