Cattle supplies in 2010 should decline another one to 1.5 percent in 2010, Randy Blach, Chief Executive Officer for Cattle-Fax, told attendees of the 2010 Cattle Industry Convention in San Antonio, Texas, recently. At the same time, beef demand will continue to be impacted by a weak economy and high unemployment.
Nevertheless, 2010 overall “should be a better year for the beef industry,” said Blach, with beef exports expected to rise and fed cattle slaughter totals expected to decrease. “Demand remains the biggest challenge for the beef industry in 2010,” said Blach. “Though the supply situation is very bullish, demand must stabilize in order for prices to turn significantly higher.”
Fed cattle slaughter totals are expected to be down two percent in 2010, and cow slaughter totals should decline by nearly nine percent. Average carcass weights are forecast to increase slightly and beef production is projected to be down 2.8 percent. Per capita net beef supplies are expected to be down four percent due to an expected increase in beef exports and smaller beef production.
In 2010 U.S. beef exports are forecast to increase to South Korea, and to a lesser extent Japan and Vietnam. U.S. beef exports in 2010 are expected to rise by about eight percent over 2009.
In terms of feedgrains, total U.S. corn production could decrease, as U.S. corn supplies are record large at an estimated 14.83 billion bushels for the 2009/10 marketing year. U.S. soybean supplies are up over 10 percent compared to last year—the second highest level on record—while soybean acreage is expected to be near 79 million acres.
Spot corn futures prices are forecast to average near $3.75/bu in 2010, near steady with 2009, and the combination of bumper corn and soybean crops, as well as the sharp decline in winter wheat acreage, has lessened the need for an acreage battle this spring.
CattleFax is a Denver-based market analysis and information organization. For more information on the outlook for the cattle industry or for information about CattleFax services call 303-694-0323.
Front page stories
Cattle supply decline expected to continue in '10
- Front page stories
-
-
Planning for pigweed
Roundup was widely used for weed control in a number of crops and it worked so well that some crops were even genetically engineered to be resistant to it. Some 40 years later, glyphosate is still commonly used as a weed control herbicide. Much like the crops that were engineered to be resistant to it, so are some of the weeds it has been used to control.
-
A Champion in the making
For Blaine Lotz from Edna, Kansas, knowing the difference in a lifelong dream and reality was recently achieved.
-
Round bale silage a viable option when the baling window closes
When it comes to putting up hay, producers must deal with something they have absolutely no control over—weather.
-
Now is a good time to winterize farm buildings and structures
Although recent temperatures don’t feel like winter outside, colder weather is likely on its way and it is a good time for winter maintenance on farm buildings.
-
Combat cold weather nutritional stress in horses
People combat cold weather by putting on additional clothing; horses fight the elements by using more energy to maintain body temperature.
-
When grass isn’t doing it, supplementation can
One of the issues in this area is that you are needing the biggest nutrient requirement at the poorest forage cycle of the year.
-
The reason for the season
The family owned and operated Christmas tree farm brings families together to pick and cut their own Christmas trees.
-
Postal service cutbacks having affect on things very close to home
Unfortunately, changes in delivery standards, postal facility closings and other measures are have an effect on the delivery of Farm Talk.
-
Kansas team wins ranch rodeo championship the cowboy way
Getting up early and working late whether it’s 105 or 15 below — it’s just part of the job.
-
Restored for a greater purpose
Devoted to raising awareness for breast cancer, Harold Denholm and his family, Tonganoxie, Kansas, are using Mom’s Tractor for their cause.
- More Front page stories Headlines
-
