Beef Buzz News
Light Weight Placements a Prominent Part of Latest Cattle on Feed Report
Tue, 26 Jul 2022 09:30:42 CDT
Senior Farm and Ranch Broadcaster, Ron Hays is back with Livestock Market Economist, Dr. Derrell Peel, this time talking about the latest USDA’s NASS cattle on feed report.
Ron Hays and Derrell Peel talk July Cattle on Feed Report
“This July cattle on feed report really was well anticipated,” Peel said. “Placements in the month of June came in down 2.4 percent in total. Marketings were about 2 percent above a year ago, and again, both of those were just very close to expectations.”
The on-feed total as of July 1, Peel said, was just slightly over last year at 100.4 percent of last year’s total. What stands out in the report, Peel added, is that this is the second month in a row almost identical to the last monthly cattle on feed report even though the placements are down in total.
“This month is 2.4 percent and last month I think was 2.1 percent,” Peel said. “Placements of cattle under 700 pounds this month is up 4.1 percent, and it was up about 5 percent last month while the placements of cattle over 700 pounds is down 6.1 percent this year.”
What is really emphasized in the last two months, Peel said is that more lightweight cattle are being placed. What this also means, Peel added is that those won’t be there later on to place, so it will catch up at some point.
“The drought is kind of aiding and abetting this,” Peel said. “I think feedlots are just trying to hold numbers.”
Peel said feedlots are trying to keep their volumes up and keep the feed mill running, so that means they are placing whatever they can get. The drought is helping that, Peel added because it is forcing some people to move some cattle in.
“Those lightweight cattle will stay on feed longer because it takes a longer time to finish them,” Peel said. “That is going to help these feedlots hold these numbers for a while, but the rate of marketings here should slow down at some point in time because there are really fewer cattle flowing through the system- they are just spending more time in the feedlots while they are there.”
The heifer on feed numbers in the report signals a significant decrease in replacement females.
“We have had elevated heifers on feed and of course, heifer slaughter has been high,” Peel said. “First half of the year, heifer slaughter is up about 3.8 percent, and so, for the heifers to be up at one point is fine. We slaughter them, it should come down.”
In the July quarterly breakdown, Peel said heifers are still up 3 percent on a year-over-year basis and the steers on feed are down 1.1 percent.
“I don’t really know where we are getting all of these heifers from but apparently, we still have some more in the feedlot, although it clearly probably does indicate heifers that might have been held for replacements are not being diverted into the feedlots,” Peel said.
Peel said we are liquidating females at a pretty rapid rate with cow and heifer slaughter at the pace we have seen this year. The fact that there are a lot of heifers in the feedlots says that we are still continuing to place and slaughter those heifers, so we are pulling down female numbers pretty rapidly, he added.
To see the USDA July Cattle On Feed Report, click here.
Click the LISTEN BAR below to hear more from Ron Hays and Derrell Peel on the latest cattle on feed report.
The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR below for today’s show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.
right-click to download mp3
WebReadyTM Powered by WireReady® NSI
Factors to Consider When Planning for Drought with Dr. Laura Goodman Wed, 10 Aug 2022 10:14:29 CDT
OSU's Dr. Laura Goodman Provides Strategy for Optimizing Forage Growth in Dry Conditions Tue, 09 Aug 2022 09:07:33 CDT
OCA's Michael Kelsey says 2023 Farm Bill was Focus of NCBA Summer Business Meeting in Reno Mon, 08 Aug 2022 09:33:22 CDT
OCA's Michael Kelsey says 2023 Farm Bill was the Main Focus of NCBA Summer Business Meeting in Mon, 08 Aug 2022 09:29:58 CDT
OCA's Michael Kelsey Talks Key Policy After OCA Convention Fri, 05 Aug 2022 09:20:39 CDT
Upcoming OCA Ranch Rodeo to Support Children's Miracle Network Thu, 04 Aug 2022 08:10:14 CDT
Tyler Cozzins says Inflation Environment May Be a Headwind for Beef Demand in the Future Wed, 03 Aug 2022 08:00:35 CDT
Jennifer Nealson Working to Increase Effectiveness of Beef Checkoff Dollars Wed, 03 Aug 2022 05:29:27 CDT
Beef Checkoff Focusses on Increasing Brand Awareness for Beef in Second Half of 2022 Mon, 01 Aug 2022 09:58:29 CDT
NCBA's Allison Rivera Shares Cattle Industry Priority List for 2023 Farm Bill Fri, 29 Jul 2022 09:23:34 CDT
Reauthorization of LMR Remains a Top Priority for NCBA Thu, 28 Jul 2022 16:59:28 CDT
NCBA Emphasizes Importance of Risk Management for Producers in 2023 Farm Bill Wed, 27 Jul 2022 10:01:49 CDT
Light Weight Placements a Prominent Part of Latest Cattle on Feed Report Tue, 26 Jul 2022 09:30:44 CDT
OSU's Derrell Peel says Tighter Cattle Numbers Going Forward are Inevitable at This Point Mon, 25 Jul 2022 09:09:47 CDT
As Supplies Tighten, Lance Zimmerman sees Beef Cattle Supply Chain Increasing to Some Degree in the Next Year Fri, 22 Jul 2022 08:07:07 CDT
Lance Zimmerman Projects Drought will Influence Cow Numbers into Next Year Thu, 21 Jul 2022 11:44:58 CDT
Research from CSU and AHA will Allow Cattle Producers using Hereford Genetics the Opportunity to be More Sustainable Wed, 20 Jul 2022 09:26:24 CDT
Colorado State University and American Hereford Association Working Together to Ensure Sustainable Food Supply Tue, 19 Jul 2022 14:02:05 CDT
Preserving the Foundation of the Ranching Enterprise Through Culling with OSU's Dave Lalman Mon, 18 Jul 2022 10:53:21 CDT
OCA's Michael Kelsey says Congressional Forums Hosted at Upcoming Convention will Showcase Critical Issues Fri, 15 Jul 2022 09:55:04 CDT
Exceptional Educational Opportunities Planned for 2022 OCA Convention and Trade Show Thu, 14 Jul 2022 09:35:37 CDT
Dr. Glenn Tonsor Projects a $300 Swing from Losses to Gains for Remainder of 2022 for Feedlots Wed, 13 Jul 2022 11:12:12 CDT
NCBA Focuses on More Opportunities for Trade Agreements in Beef Export Market Tue, 12 Jul 2022 10:08:58 CDT
NCBA's Kent Bacus says the Loss of Prime Minister Abe is a Great Loss for the World Mon, 11 Jul 2022 12:15:05 CDT
Many Moving Parts Will Influence Beef Demand for Remainder of 2022 Thu, 07 Jul 2022 09:07:18 CDT
Derrell Peel Foresees a Decrease in Beef Production for Remainder of 2022 Wed, 06 Jul 2022 19:36:25 CDT
Cattlemen's Congress Reaching Out to Commercial Cattlemen in Year Three- and International Guests as Well Tue, 05 Jul 2022 11:14:19 CDT
Born Out of the Pandemic- Cattlemen's Congress Getting Ready for Year Three Fri, 01 Jul 2022 10:26:41 CDT
Telling the Story of Animal Agriculture with Hannah Thompson Weeman Thu, 30 Jun 2022 09:16:53 CDT
NCBA's Ethan Lane says the Price Discovery and Transparency Act Passing Committee was the Easy Part Wed, 29 Jun 2022 11:25:56 CDT
Katelyn McCullock with LMIC says Interesting Summer Ahead from a Meat Case Perspective Tue, 28 Jun 2022 09:38:57 CDT
Ag Groups Argue About Harm to Animal Ag by California's Prop 12 Mon, 27 Jun 2022 11:31:46 CDT
NCBA's Ethan Lane Voices Concerns with the Cattle Price Discovery and Transparency Act of 2022 Fri, 24 Jun 2022 08:57:35 CDT
Cattle Price Discovery and Transparency Act of 2022 Passes with Objections Thu, 23 Jun 2022 13:14:46 CDT
Notable Increase in the Cost of Gain in Feedlots for 2022 says Dr. Glynn Tonsor Wed, 22 Jun 2022 16:13:24 CDT