Source: Michael Fielding, MEATINGPLACE, 8/2/11

The quantity of beef available to consumers in the U.S. has declined dramatically – and that downward trend is expected to continue, says Purdue Extension Ag Economist Chris Hurt in his latest cattle report.

The reasons: Continuing liquidation of the cow herd due to high feed prices, a weak U.S. dollar that is spurring beef exports, and drought in the Southwest and Southeast. “This will support prices across the cattle complex at new record highs in 2011, and again in 2012. Unfortunately, even higher retail beef prices can be expected for consumers,” he said in the report.

The latest USDA inventory of beef cows on July 1 showed a further decline of one percent in the past year. Since 2007 when feed prices were still moderate, beef cow numbers have dropped five percent. “More alarming is the decline in beef available to U.S. consumers as cow numbers were dropping and foreign consumers have been buying much more of our production,” Hurt added.

Click here to view the full report.   

For more stories, go to www.meatingplace.com.