Page 3 - MWC 2-23-2023s

The Midwest Cattleman · February 23, 2023 · P3

February 23, 2023 Volume 29 No. 2

STATE OF THE CATTLE INDUSTRY: SUPPLY OTC LIVESTOCK ANTIBIOTICS WILL REQUIRE
SHOCK RESULTS IN 61 YEAR LOW IN BEEF PRESCRIPTION JUNE 11
COW HERD AND RECORD PRICE FORECAST By Kay Ledbetter
By Michelle Rook Don’t wait. Get to know trying to help livestock own-
USDA’s Semi-Annual Cat- your local veterinarian now ers who are used to going to
tle Inventory report confirmed and establish a veterinari- the local feed store to buy
a 61-year low in the beef cow an-client-patient relation- some of their antibiotics and
herd, and barring some major ship if you expect to treat administer treatment them-
change in the weather, the cat- livestock in the future, as selves.
tle inventory may not be done over-the-counter livestock All of that will change on
shrinking yet. Industry ex- antibiotics will soon require June 11, when these medical-
perts predict that could push a prescription. ly important antimicrobial
cattle prices for all classes to That is the advice of a drugs will require veterinary
record levels yet this year and team of Texas A&M AgriL- oversight.
beyond. ife Extension Service experts The following experts an-
The historic drought has swer some frequently asked
been devasting for U.S. cat- ations and genetics in their questions to let livestock
tle producers who have lost herds. The liquidation was owners know what to expect:
years of equity in their oper- continued on page 10 — Tom Hairgrove, DVM,
Ph.D., AgriLife Extension
cattle veterinary specialist
CATTLEFAX PROJECTS PRICES WILL FAVOR in the Texas A&M College of
PRODUCERS IN 2023 Agriculture and Life Scienc-

CattleFax analysts told es Department of Animal Sci-
those in attendance during ence, Bryan-College Station.
their market outlook session continued on page 12
at the Cattle Industry Conven-
tion in New Orleans that pric- JANUARY 1 BEEF COW NUMBERS DECLINE 3.6%
es and profitability will favor By Kenny Burdine, Extension Professor, Livestock Marketing, University of
cattle producers in 2023. Kevin Kentucky and James Mitchell, Livestock Marketing Specialist, University of Arkansas
Good, vice president of industry USDA-NASS re-
relations and analysis for the cently released their
organization, said the average production to drop over the January 1, 2023,
for fed steer prices is projected next several years – declining cattle inventory es-
to be $158/cwt., up $13 from 4% to 5% in 2023 to 27 billion timates. To no one’s
2022. The 800 lb. steer price is pounds,” Good said. “The de- surprise, the report
expected to average $195/cwt., cline in production in 2023 will confirmed another
with 550 lb. steers anticipated lead to a 2.2-pound decline in year of contraction
to average $225/cwt. net beef supply to 57 pounds in the beef cattle industry. There was no question
Feeder cattle and calf sup- per person.” According to the report, cat- that the beef cow herd had
plies outside of feedyards are When looking at domestic tle inventories totaled 89.27 gotten smaller; it was just a
projected to be 400,000 to beef demand, analysts said million head, a 3% decline question of how much small-
450,000 head smaller than inflation, rising interest rates year over year. The table at er (see graph). A combina-
2022 at 25.1 million. After and general economic uncer- the end of this article pro- tion of dry weather, higher
being full for most of the past tainty will continue to impact vides estimates for each cat- input costs, and high cull cow
three years, analysts said cat- consumer purchasing decisions tle class in the report.
tle on feed inventories are ex- as many look to limit spend- continued on page 16
pected to be 300,000 to 400,000 ing. Good noted that though
head below last year at 14.3 beef demand has softened, it
million head and remain small- remains historically strong, Coming Sales-38
er. Commercial fed slaughter is and consumers have shown a Life is Simple-5
forecast to decline by 750,000 willingness to continue to buy Market Report-8
to 800,000 to total 25.6 million beef at a new and higher range.
head. He expects the 2023 USDA Agribusiness
“With drought-forced place- All-Fresh Retail Beef prices to Directory-36
ment and culling, beef produc- average $7.35/lb., up 4¢ from
tion was record large in 2022 2022.
at 28.3 billion pounds. Expect KLA