Todd Wilkinson, a South Dakota cow/calf operator and president of the National Cattlemen’s Beef Association, explains that the cattle herd expansion has been hindered due to the prohibitive costs of purchasing replacement heifers and the challenging conditions posed by drought.
Wilkinson emphasizes that the decision to expand the herd is particularly difficult for cattle producers facing drought-related crop losses.
Despite the current challenges, he believes the industry will eventually recover and expand its cattle herd, taking advantage of better market conditions.
The USDA’s July Cattle Inventory report indicates a decline in beef replacement heifers, and the Cattle on Feed report reveals a significant number of heifers on feed.