Articles

Invest In Production Land: Cattle Prices Getting Stronger

Written by Jerry Hicks, Ranch Broker  and Scott Hawes, Principal Broker, Oregon

Industry experts anticipate improved cattle prices for 2020.  It is believed that the US beef cattle herd expansion that began five years ago has run its course and is entering into a liquidation phase.  While it is anticipated that 2020 will see record beef production, the continuation of the longest US economic expansion in history continues to support domestic beef demand.

The effects of the African Swine Fever’s decimation of the Chinese hog herd is beginning to increase Chinese demand for US beef.  Further support for the US beef export demand is expected from the global protein shortage, new trade agreements with Japan and EU, and President Trump’s signing of the United States-Mexico-Canada Agreement, which still needs to be ratified by Canada.  If a trade agreement with China can come to fruition, even greater export demand can be anticipated.  2019 US dairy cow and beef cow slaughter was very large and is anticipated to be significantly lower in 2020, adding further support for US beef prices.  Corn and soybean acres are expected to regain acres lost due to the 2019 wet Spring and with normal yields, corn prices should decline.

Key variables for improved 2020 beef cattle prices yet hinge on the possibility of drought, the US corn, soybean and hay crops and the return to profitability for the feeding sector. It’s amazing to see how much the markets change on a 2-4% inventory move. Demand or perceived demand usually creates an upward move in market values. It does seem that the stars are in alignment for a better market just ahead.

Bozeman Land For Sale Montana

Purchasing a Ranch Near a Modern Cowtown, Southwest Montana

By Ryan Bramlette, Ranch Sales, Licensed in MT Today, Americans have more of a variety of lifestyles available, filled with choices that have emerged over the recent months.  Many people are fortunate to have the ability to generate income from wherever their laptop and cell phone are plugged in, and their children can be educated […]

2021: A BETTER YEAR FOR THE CATTLE INDUSTRY?

By Alex Robertson, Broker, Licensed in Oregon On a crisp December morning in Madras, Oregon, the cattle at The Greens’ Feedlot line up to the feed bunks. Not much space is available in the Greens’ Feedlot as most (if not all) pens are full with the appropriate number of cattle. The feedlot is a custom […]