Many ranchers culled their herds during the first years of drought conditions and are now beginning to rebuild and expand their herds, resulting in higher cull cow prices as slaughter numbers decline, according to the U.S. Department of Agriculture’s (USDA) Livestock, Dairy and Poultry Outlook report.
Released March 14, the report shows the inventory of heifers on feed as of Jan. 1, 2014, in 1,000-plus head feedlots was the third smallest proportion for heifers since 1995. This figure suggests more ranchers are retaining heifers for breeding, according to Drovers CattleNetwork.
U.S. beef exports rose 5 percent in January 2014 from the previous year, recent fed cattle prices are volatile and all-fresh beef prices continue to set higher records each month. U.S. cattle imports totaled 157,299 head in January 2014, nearly unchanged from a year earlier. USDA expects cattle imports to fall 2 percent in 2014 to 1.95 million head, as inventories remain tight in Mexico and Canada.
Read the full Livestock, Dairy and Poultry Outlook report.