Drought pushes US beef cow herd inventory below 60 year low

The latest drought monitor (September 7, 2021) shows that 36% of the US is in drought level D2 or higher. Most of this is concentrated in the west with 80% D2 or higher and plains states at 42% D2.

Widespread drought in 2021 has caused another liquidation cycle. Beef cow slaughter year to date is 9% above a year ago. Cow slaughter is now above the 2010-2013 level, the last significant liquidation that brought the US beef cow herd down to a 60-year low in inventory, said John Nalivka, president of Sterling Marketing. “This is serious business; we are liquidating this cattle herd in...