As many Americans are scrambling to find a new normal during the COVID-19 crisis, restaurants are being forced to find creative ways to keep food moving as dine-in is ceased. Meanwhile, retailers are scrambling to find beef to put in the meat case. Many CAB partners are lending helping hands.
There are no words that will take away the devastating slap of a market drop, the pain of a postponed bull sale or the exhausting frustration that things feel out of control. The page will eventually turn and the world will still need great beef and those who raise it.
Seasonal factors are impacting the CAB carcass headcount. Feeders have older, heavier cattle and more in the yard, lending to a higher supply while CAB acceptance is staying at a steady 36%.
Cattlemen have made great progress when it comes to Prime, but Clint Walenciak, the brand’s director of packing, argues there’s still a lot of progress to be made.
Packers pay nearly $8 million per month in Certified Angus Beef® brand premiums, according to a recent survey. Those record high dollars come at a time when there’s been record quality through the system, too.
CAB continues to pay producers who target the brand. Up to $92M in 2019 was paid back to feeders and producers. Steer and heifer carcass weights are at record highs, averaging 904 lb. the first six weeks of 2020.
This year has started out with record highs for fed steer/heifer carcasses grading Prime. How much will the market demand and at what premium can it support? We haven’t reached the ceiling yet.
Cattlemen always try to lower cow cost while improving returns. Paul shares what pays in your cow herd and why you want above average cows to hold onto. CAB premiums averaged $116/cwt. in 2018 and 2019.
Disappointing cattle prices loom like storm clouds. A third of producers are losing money, while others get by with modest returns and worry about those thunderheads. There are silver linings, of course. Consumer demand for high-quality beef is stronger than it’s ever been.
Paul Dykstra discusses the increasing carcass weights of fat cattle and the historic trends behind it. Cattle seller’s are also seeing improvements to the fed-cattle trade.
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