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The Midwest Cattleman · February 24, 2022 · P3

                   February 24, 2022   Volume 28   No. 2

              JUDGE BLOCKS BIDEN MEASURE FOR                                         BEEF EXPORTS EXCEED $10 BILLION
          CALCULATING CLIMATE RISKS, INCLUDING                                                        By Greg Henderson
                        AGRICULTURE IMPACT                                    For the first time, U.S.  Meat Export Federation
                                 By Nichola Groom                           beef exports have exceeded  (USMEF).
         A federal judge recently                                           $10 billion in sales, shatter-       In December, beef exports
      blocked for now the Biden                                             ing the previous record by  totaled 121,429 metric tons,
      administration from restor-                                           27%. Pork exports finished                      continued on page 12
      ing Obama-era values for cal-                                         slightly below the record
      culating the cost of climate                                          volume reached in 2020 but
      change in the government's                                            set a new value record, top-
      permitting, investment and         The "social cost of greenhouse gases" esti-  ping $8 billion for the first
      regulatory decisions.              mate is used in rule-making and permit-  time.
         The preliminary ruling by       ting processes to estimate economic dam-  Those eye-popping num-
      a U.S. District Court judge in     ages associated with a rise in greenhouse   bers come from the year-
                                         gas emissions. Those could include things
      Louisiana is a blow to Pres- like impacts to agricultural productivity   end data released by USDA
      ident Joe Biden's efforts to       or property damage from increased flood   and compiled by the U.S.
      factor  the risks  of climate
      change into federal deci- climate change. Last month, a                CATTLEFAX GIVES ANNUAL MARKET OUTLOOK
      sion-making.                       federal judge invalidated the
         It is also the latest in a  results of an oil and gas lease          During its Industry Out-           Good did report U.S. beef
      string of court decisions that  sale in the Gulf of Mexico  look Session held recently at  cow inventories have fallen
      have both stymied and af- that the administration only  the Cattle Industry Conven- more than 700,000 head from
      firmed Biden's efforts to fight  held because of a separate  tion in Houston, TX, Cattle- last year and are off nearly

                                                      continued on page 10  Fax indicated although issues  1.6 million from cycle highs.
                                                                            around labor and packing  This year, the beef cowherd
       BEEF CATTLE NUMBERS CONTINUE TO DECLINE                              capacity have lingered, both  will near 30.1 million head.
           By Kenny Burdine, Livestock Marketing Specialist, University of Kentucky  are expected to improve in   “Drought, market vola-
                                                                            the year ahead. Analysts said  tility and processing capac-
         USDA-NASS recently re- slightly larger decrease than               expansion in capacity, cou- ity challenges affected 30%
      leased their January 1, 2022,  pre-report estimates.  As an           pled with strong global and  to 40% of the cowherd over
      cattle inventory estimates.  economist in a predominant-              domestic beef demand, sug- the last year. Without an im-
      Beef  cow slaughter was sig- ly feeder cattle state, I tend           gests increased profitability  provement in weather and
      nificantly higher in 2021, so  to pay more attention to the           across segments, signaling a  profitability, at least 250,000
      expectations were for con- number of beef cows in the                 market that is healthier and  more head will be liquidated
      tinued contraction of cattle  US, which was down by about             more stable in 2022.              in 2022,” Good said.
      inventory. The USDA report  2% as well.                                 CattleFax Vice  President          Projections are the feeder
      confirmed that and provided           An important note to the        of Industry Relations and  cattle and calf supply will be
      some perspective on the mag- report was that the January              Analysis Kevin Good fore- 675,000 head smaller than
      nitude of these decreases.  1, 2021, beef cow inventory               casted the average 2022 fed  last year, with the number of
      Total cattle and calves were  estimate was revised down-              steer price at $140/cwt., up  fed cattle processed declining
      down by 2%, which was a  ward by about 1%. Perhaps                    $18/cwt. from 2021. The 800  400,000  head. Additionally,
                                                      continued on page 10 lb. steer price is projected to  Good said commercial beef
                                                                            average $172/cwt., with 550  production will contract over
         CATTLE MARKET OUTLOOK BRIGHT DESPITE                               lb. steers bringing an aver- the next several years, start-
                         RISING INPUT COSTS                                 age of $205/cwt. Finally, util- ing with a 2% decline this
                                                                            ity cows are expected to aver- year.
                 By Garth Ruff, OSU Extension Beef Cattle Field Specialist  age $75/cwt., with bred cows
         Dr. Andrew Griffith, Asso- the University of Tennessee,  averaging $1,850 per head.                  KLA
      ciate Professor of Agriculture  recently addressed supply,
      and Resource Economics at  demand, and market projec-
                                         tions as well as some insight                                      Coming Sales-38
                                         to supply chain disruptions,                                       Life is Simple-5
                                         input costs, and beef indus-                                       Market Report-8
                                         try trends.                                                        Agribusiness
                                            This  article  will  highlight
                                         some of the main points of                                         Directory-36
                                         Dr. Griffith’s presentation.

                                                      continued on page 12
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