My View From The Country

The Livestock Business Tops The Stock Market

The average value of a fed steer, from 2009 to 2013, has increased 11% annually and a total of $600 over that time.

I saw an amazing graph last night, courtesy of CattleFax. It illustrated that, from 2002 to 2008, the average value received for a fed animal increased by 6% annually. While that’s not bad, the average value of a fed steer from 2009 to 2013 has increased 11% annually and a total of $600 over that time. Those are the kinds of numbers that should get people excited.

I was almost glad that CattleFax didn’t have a slide that showed production costs over that same time period. I have a feeling those figures would have been pretty shocking as well.

When the CattleFax analysts finished talking about the possibility of $2 calves, $1 slaughter cows, and $4 corn, I couldn’t help but pinch myself to make sure I wasn’t dreaming. Some of the slides displayed by CattleFax also had cattle feeders thinking that they were dreaming. But those dreams were more of a nightmare, as overcapacity is actually growing in the fed industry as supplies continue to tighten.

 

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What's My View From The Country?

As a fulltime rancher, opinion contribur Troy Marshall brings a unique perspective on how consumer and political trends affect livestock production.

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Troy Marshall

Troy Marshall is a multi-generational rancher who grew up in Wheatland, WY, and obtained an Equine Science/Animal Science degree from Colorado State University where he competed on both the livestock...

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