US: Here's what will hold cattle prices up as bigger supply comes online

Published Jun 14, 2024

Tridge summary

The article examines the Australian beef market, noting that an increased cattle supply from a rebuilt herd is unlikely to significantly lower prices due to factors like growth in lotfeeding, higher buyer competition, and reduced US beef supply. Meat & Livestock Australia (MLA) analysts report that current cattle market indicators are higher than last year, thanks to better conditions in Queensland and improved producer sentiment. The national herd is projected to reach 28.5 million head by 2024, with beef production expected to hit a record 2.5 million tonnes. Global market dynamics, especially the US herd rebuild, offer substantial export opportunities for Australian beef, particularly in Asia.
Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

More cattle on offer as the beef business reaps the results of a rebuilt herd won't necessarily send the market plummeting, with a number of factors at play likely to provide a buffer. One of those is growth in lotfeeding and the buyer competition that is delivering and another is the potential emerging on the global scene from decreasing United States supply. These topics were unpacked by Meat & Livestock Australia market analysts Stephen Bignell and Emily Tan at a recent producer information seminar on cattle trading at Coonamble, hosted by AHN Consulting. Mr Bignell, MLA's market information manager, said most cattle market indicators were right now above where they were this time last year despite the fact supply was already up 20 per cent year-on-year. A key driver of that has been better conditions in the north encouraging the country's biggest cattle state, Queensland, to keep restocking. But improved producer sentiment across the board had also played a big role, Mr ...
Source: Farmweekly
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