The biggest cattle state is seeing its herd shrink.
Fewer Angus, Brahman and cross-bred calves dot the wide open spaces of Texas.
Since 1995, the state's beef cow inventory has shrunk 12.8 percent, from 5.95 million to 5.1 million -compared with an 11 percent drop nationally. The decline is attributed to drought; the high cost of feed, fertilizer and fuel; urban sprawl; an aging population of ranchers; tight credit; and the conversion of grazing land to recreational use like deer hunting.
And it won't get better this year, predicted Kevin Good of Cattlefax, a member-owned livestock comsultancy.
"We anticipate it will be the smallest beef cow herd since 1963," Good said from Denver.
No one is outwardly panicking but the gradual decline is particularly painful to feedlot operators concentrated in the Panhandle and High Plains, said John Josserand, president of Hereford-based AzTx Cattle, which has closed two of its operations that fed a combined 80,000 head.
As for jis remaining yards, which have a combined capacity of 180,000 head. there's vacant space. Josserand said.
This time of year, we would be full. We are not this year." he said. "There's a limited number of cattle to by and at a high cost, then there's the high cost of feed.
Josserand's fear is that supermarket price of beef will be driven up so high that people will switch to cheaper meats, eventually making a good rib-eye a cut found mainly in higher-end markets, ........................ - - -
Tuesday, January 11, 2011
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