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Agricultural News

Record Beef Prices Supported by Demand and PEDV

Tue, 12 Aug 2014 11:40:15 CDT

Record Beef Prices Supported by Demand and PEDV

As cattle producers contemplate herd expansion, a University of Missouri Ag Economist recommends producers also think about herd management. Dr. Ron Plain was one of the featured speakers at the 24th Annual Southern Plains Beef Symposium in Ardmore Saturday. Radio Oklahoma Network Farm News Director Ron Hays interviewed Dr. Plain about what strategies producers should be thinking about. You can hear their full conversation by tapping on the LISTEN BAR below.

"My recommendation for those guys who plan to stay in the business, it's a good time to up your management and spend a few more dollars because those calves are worth a lot," Plain said. "Keeping your calving rate up, your conception rate up, get enough nutrition into the those old cows so they breed back, take care of those calves when they are born, because these kind of prices there are good profits to be had there."

This also includes pasture management. Plain says producers should think about fertility and liming pastures, cause converting grass into beef is a very profitable activity right now.

Record high cattle prices are being passed along to the consumer. Plain said grocery store prices of beef keep setting records with five months in a row at record levels and consumer demand still looks good.

"Beef is one of things American like to eat, so I am bit surprised that beef demand is holding up real well," Plain said. "Exports are doing real well despite six percent less beef being produced thus far this year and record prices, beef exports are up compared to a year ago."

In the pork complex, the impact of the porcine epidemic diarrhea virus (PEDV). Plain said a estimated 7 - 10 million pigs have died from PEDV that first showed up in the United States back in April 2013.

"That has pulled down pork production this year, its helped support these record high cattle prices," Plain said. "It looks its going to be a bit of a seasonal problem with more PEDV deaths in the hog industry during the winter, that will mean reduced slaughter six months later, the age when most pigs are slaughtered."

"We were very tight on pork supply this summer," Plain said. "It looks like we probably won't be quite so tight on pork this winter because of reduced death loss to PEDV this summer."

The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network- but is also 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.



Ron Hays Beef Buzzes with Dr. Ron Plain
right-click to download mp3


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