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The Midwest Cattleman · February 23, 2023 · P3

                   February 23, 2023   Volume 29   No. 2

          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
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