Drought Slowing Cattle Herd Growth

Growing drought in the U.S. southern plains is again threatening cattle production.  During last week's cattle Cattle Industry Convention in Phoenix, one market analyst is suggesting the slowing pace of herd growth is a repercussion from dry condition in the southern plains.  Drought in the region contributed to the smallest rise in the nation’s cattle population in three years, according to government data.

Allendale analysts Rich Nelson told Reuters that the report implies that the U.S. is “Trying to rein in herd growth,” and current herd expansion could stop by 2020. Insufficient moisture in parts of Texas and Oklahoma, along with areas of persistent dryness in the northern Plains, hurt winter wheat grazing pastures for cattle, forcing more of them into commercial feedyards earlier than planned. The most recent drought monitor shows all of Oklahoma and nearly all of Texas in a classified drought.

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