Limousin 365 l365_apr2020-issue | Page 56

continued from page 53 Of those eight states, beef cow numbers increased year over year in Missouri (+24,000 head or 1.17%) and Kentucky (+4,000 head or 0.39%). For the other six states, year-over-year declines in beef cow numbers ranged from -19,000 head in Nebraska (-0.98%) to -96,000 head in Kansas (-6.28%). Depending on the analysts you follow or how you run the beads on your own abacus, there’s little to suggest much further contraction in the nation’s beef cowherd. On the other hand, if trade with China finally breaks loose, taking more U.S. pork and beef, there could be some economic incentive to resume herd expansion. Longer term, in the recent Agricultural Projections to 2029, USDA analysts say, “The cattle herd is expected to decline cyclically in the early part of the projection as producers respond to lower returns. A decline in cattle numbers early in the period will likely contribute to higher cattle prices, although a modest herd expansion the rest of the period pressures cattle prices lower.” Those projections see the beef cowherd declining to 31.27 million head by 2022 and then gradually building through the remainder of the projection period to 33.42 million head by 2029. USDA’s long-term projections forecast the five-area direct fed steer price this year at $116/cwt. then ranging from $116.37 (2024) to $121.39 (2023) over the next five years. From there, through 2029, the estimated range is $110.58 (2028) to $114.70 (2026). USDA long-term projection see this year’s feeder steer price (basis Oklahoma City) to be $141/cwt. It ranges from Meet… $138.13 (2028) to $151.27 (2023) for the remainder of the projection period. Keep in mind short-term projections in USDA’s long-range outlook began with the October 2019 WASDE report. Projections don’t include recent trade deals, such as the Japan-U.S. free trade agreement, phase- one China trade deal or the U.S.-Mexico-Canada trade agreement. Working Through Current Supplies The estimated feeder cattle supply outside feedlots Jan. 1 of 26.45 million head was 105,300 fewer (-0.40%) than a year earlier, but there were 14.68 million head on feed, which was 309,800 more (+2.16%) than the previous year and record large for the month. “These numbers show that the last pulse of larger cattle numbers are currently in feedlots and cattle slaughter will be up in the first quarter before declining through the second half of the year,” Peel explained. “However, higher carcass weights are projected to offset a slight decline in cattle slaughter and push total 2020 beef production higher to new record levels. Beef production is likely, however, to be lower year over year by the fourth quarter of the year.” For carcass weight perspective, the average steer dressed weight in January was 904 lbs., according to USDA’s monthly Livestock Slaughter report. That was 18 lbs. more than the same month a year earlier. The average dressed heifer weight of 833 lbs. was 9 lbs. more than a year earlier. Last year, harsh, wet and cold weather hammered feedlot performance. Conversely, this year’s mostly open winter is boosting performance. Frank Larry Smith, owner 347 Davidson Rd. • West Harrison, IN 47060 Evening: 812.637.2303 • Day: 513.367.0218 Mobile: 513.218.2408 • [email protected] Scott Minges, manager: 513/616-8499 [email protected] SSTO SKLS FRANK 8879F 67% Lim-Flex | Polled | Homo Black CJSL Dauntless 6257D x SSTO 662D (Aviator) BW: 0.6 WW: 68 YW: 107 MK: 15 SC: 0.7 DC: 16 YG: -.30 CW: 36 RE: .78 MB: -.02 $MTI: 52 Frank topped the 2020 Kentucky Beef Expo Limousin Sale. This young sire has a flawless phenotype and when you study his pedigree it all becomes clear. Breed legends are stacked on both sides—Zodiac, Absolute Style, Aviator and Xtra Special. It does not get any better! He provides a balanced numerical portfolio. From the ground up, Frank is something special. 54 continued on page 56 • APRIL 2020 RANDY, NANCY, RANDEE & ASHLEE CORNS Randy: 620/750-0924 • Nancy: 620/432-5056 Randee: 620/583-2959 • Ashlee: 620/953-2210 11535 Thomas Rd. • Altoona, KS 66710 SEMEN AVAILABLE - CONTACT OWNERS