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For more than 10 years, Paul Dykstra has written a bi-weekly market column for the brand which evolved into the CAB Insider e-newsletter. He shares current market updates, trends and observations with a closer look at the cattle market from the beef-product side than you can find anywhere else. Yes, there’s an emphasis on the Certified Angus Beef ® brand, and you will also find the latest research exploring carcass quality.
We want you to have confidence in what is relevant and drives value in your cattle business to help you make profit-driven decisions at home. And the CAB Insider helps you do that.
Meet the Author
A native of Colorado, Paul Dykstra grew up on a commercial cow-calf ranch in western Colorado and later earned a degree in animal science from Colorado State University. Paul worked as a feedyard manager for the U.S. Meat Animal Research Center in Clay Center, Neb., before joining the brand’s supply development team in 2002.
As the Director of Supply Management and Analysis for the brand, Paul combines his experience and knowledge to work closely with ranchers and feedyard managers to raise Angus cattle using the best management practices to enhance profitability by producing quality beef.
READ THE LATEST INSIDERS
Don’t Fade the Trend
The Choice-Select price spread has long been held as the industry’s barometer for the differential in consumer demand for high-quality, well-marbled beef and the leaner counterpart consisting of only slight degrees of marbling. However, using the current Choice carcass premium to Select as a gauge for consumer demand is misleading.
CAB Acceptance Rate Hits Seasonal Record-highs
Meeting the demand for the Certified Angus Beef ® brand during the 1980s was relatively easy—we would just add another packing plan to certify carcasses and increase brand supply. Today opportunities for supply growth are more challenging, given that 85% of the U.S. packing volume is licensed under the brand. Thus, supply dynamics come down to one fickle component: the quality of the cattle.
Quality Grades Continue to Run High
The fed cattle market was defensive last week, pressured by slippage in boxed beef values and an underperforming futures market. Taking a broader view, the USDA Prime grade has been the beneficiary of longer feeding periods with the national average Prime share at 10.5%.