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Record-low cattle supplies create opportunity for cow-calf profits

A beef specialist with the University of Illinois Extension says it’s time for beef producers to prioritize profitability.

“It is easy to make a profit with beef cows right now, but that’s not always going to be the case.”

Travis Meteer says continued record prices in the cow/calf industry give producers the opportunity to maximize the value of their herd.

“I think when something’s not making as much money, maybe we don’t spend as much time evaluating it.”  He says, “Now we’re at the spot where I feel like producers are asking more questions.  And as they look to scale and size these cattle operations, do some accounting, have some spreadsheets, look at your inventory.”

He tells Brownfield that record low cattle supplies mean…

“If we’re going to grow the cow herd, we need to make a new cow, right?”  He says, “Heifers will appreciate when we breed them, so you actually add tremendous value to a heifer when she gets bred.”

Meteer says operations that continually manage feed costs and monitor herd depreciation are better suited to capitalize on record prices.

AUDIO: Travis Meteer – University of Illinois Extension