Feedlot operators don’t expect a recovery anytime soon as some feedlots are closing and others remain empty and a major meatpacking plant in Texas closed because of a lack of cattle. With lingering drought, high feed prices and the time needed to rebuild herds, a turnaround does not seem likely anytime soon. For consumers the lower cattle numbers mean higher prices. Texas, the largest beef producing state, has been particularly hard hit. As the drought continued and pastures dried up, ranchers weaned cows early and sent breeding stock to slaughter. If the rains return this spring and summer the market will still suffer as ranchers will hold back animals to rebuild the breeding stock that was lost. The industry as a whole is slowly moving north from Texas where areas are expected to recover more quickly from drought.
Anyone remember this? Comically relevant once more:
http://www.youtube.com/watch?v=Ug75diEyiA0