Page 28 - MWC 10-6-2022s

PREMIUM BEEF REMAINS cupied by the Certified Angus before prices soar from fourth

The Midwest Cattleman · October 6, 2022 · P28
IN FASHION Beef® brand, has similarly suf- quarter demand. What we
fered a volume decline since don’t know is the magnitude
Since the start of 2022, the due to slippage in the propor- early May, putting year-to-date of volume that this is happen-
national Choice grade percent- tion of Prime carcasses. carcass production down more ing. This activity has elevated
age posted record-large num- This year’s Prime grade than 3%. middle meat prices, particular-
bers through the first week of percentage was not expected Through much of the spring ly ribeyes, midway through the
June. Easily the highest vol- to surpass the summer 2020 season, the lower quality Select third quarter in recent years.
ume quality grade category, highs of 10%, but the recent carcass share held steady with This modern buying strat-
Choice increased specifically drop below 8% is disappointing the 2021 pattern with a near egy and diminishing seasonal
to end users trying record-low volume in the 12 access to Prime beef (includ-
to fill orders at a to 15% range. However, as the ing the Certified Angus Beef ®
reasonable price. summer fed cattle supply has brand) has rapidly elevated the
Recent data been ultra-current, particular- Prime to Choice cutout value
shows the Choice ly in the north, sub-optimal ri- spread. The Prime cutout pre-
carcass category beye marbling measurements mium to Choice last month at
declined from 74% allowed the Select category to $58.77/cwt. is the same as a
in the first week of drift higher than 16%. This is year ago. This has generated
July to 72.4% by larger than summer values in the top end of the Prime grid
the month’s end. the past two years. premium packer payment of
However, it’s not This supply data goes $45/cwt. and a market average
due to more car- against what beef customers of $22/cwt. With the low end of
casses receiving increasingly desire and are the range at $0/cwt. for Prime,
the Prime stamp. willing to pay for premium it’s important that readers un-
Quite the opposite middle meats. To offset this derstand that grid marketing
– quality grades drop, end users have start- formats vary widely, as well as
are dropping re- ed to suspend higher-quality the premiums/discounts rela-
sulting in more Se- beef with deep chill storage tionship to the base price.
lect grade carcass- process known as “suspended Since late April, heifers have
es. The Premium fresh”. This ability to hold beef factored more prominently in
Choice or “upper for months near its freezing the fed cattle mix than either
2/3’s Choice” cate- point, but still in a fresh state, of the two preceding years.
gory, primarily oc- has elevated buying and stor- The year-to-date 39% average
age of premium middle meats continued on page 29
SALE!

2 SATURDAY IN FEBRUARY
ND

Striving to provide producers
with the genetic traits

and qualities that provide profitability,

and stability to your herd,
while consistently using data and technology

to increase desirable traits.

Crooked Creek Angus
Garrett Wood
19970 State Hwy D
Burlington Jct, MO 64428

gwood4681@gmail.com • 660-853-9430