Earlier in the week Anne Dunford brought up a great question during the Beef Market Update.
Will ranchers be holding back more heifers to restock the cow herd or cash in on some higher values and run?
With the trend definitely pointing to a continued herd reduction, what will stop it? Is it inevitable that all we are left with is large ranches and no smaller cow owners? Can this possibly just keep happening? Even though some studies are showing a positive net margin per cow why is the industry continuing to shrink? Is being a real cowboy not as romantic for the younger generation or are they more Calgary Stampede cowboys for ten days?
What do you think is going to happen?
I am by no means a cow calf expert so the best thing to do is to talk to someone that is in the minds of cow calf producers. I made a call to Herb Lock of FarmSense Marketing regarding this very question raised by Anne. For those of you that do not know Herb, he specializes in the cow calf sector and is very knowledgeable of the ranching challenges and opportunities.
If you cannot see the video below, click here