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SC Iowa | I think the problem is systemic. Many older farmers who had large numbers of cow calf are retiring and putting soybeans on their acres. Only a small amount of young producers are entering the market, and they are doing so with small numbers of animals. Why?? Could it be the access to the land, animals and feed? These prices are all record high and also add record intrest. Guys that are in and establsihed are grain farming. Guys that are trying to break in, see an opportunity in cattle, but the option to buy 200 cows and find the acres to run them. There is the mountain to climb.
I myself have a 700 head feedlot that i run only 40 pairs. Why?? Cattle are alot of work and risk.
The flipside of the coin is that demand for beef is climbing while the herd is shrinking. This is creating an opportunity for guys that want to work and grow to possibly enter the business. Gotta get access to the land.
Price rationing for beef seems imminent. | |
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Feeder cattle
