THEE Hot Barn Report!
Heard ONLY on American radio stations across the nation and online at hotbarnreport.com!!
Welcome to America’s Hot Barn Report now heard coast to coast and border to border
It is official, we have just confirmed our 12th reporting barn for the big fall run. We now blanket the great Northern beef belt from Motely, Minnesota to Torrington, Wyoming.
The Hot Barn Report is a fast paced and entertaining daily program covering the latest news and trends in the cattle industry, hosted by Monte James, a veteran rodeo announcer, radio host and industry expert! The Hot Barn Report features interviews with industry leaders, market analysts, producers and ranchers and features True Price Discovery from salebarns in Great Northern Beef Belt and across the nation.
If we don’t have it, we gotta get it from somewhere. Welcome to this special Friday edition of the Hot Barn Report.
I have been warning you all for months, well the last few years really, that ultimately with lack of moisture and waning optimism as our domestic cowherd continues to shrink, the US would have no qualms about bringing more cattle and beef from outside our borders.
Now the USDA has made a statement in a recent report highlighting this very truth. Just this week a USDA commodity report was made stating, “Total first-half 2023 cattle imports were 953,000 head, an 11-percent increase over the same period last year. This is likely supported by tight cattle supplies in the United States and higher U.S. cattle prices year over year. Over the last 5 years, about 75 percent of imports were feeder cattle, 25 percent were cattle for immediate slaughter, and less than 1 percent were for breeding. In the first 6 months of 2023, about 687,000 head were feeder cattle, and 88 percent of them were Mexican origin. Imports of feeder cattle increased more than 19 percent year over year in the first half. However, the number of slaughter-ready cattle—of which 99 percent came from Canada—decreased nearly 5 percent from last year to about 259,000 head, yet it remains above the 5-year average.”
According to Feedlot Magazine, “After 2 years of beef trade surplus, imports are forecast higher than exports in 2023 and 2024. Over the last few years, the United States has alternated between being a net-importer and net-exporter of beef. Domestic beef production largely drives the amount of beef exported and imported. With the contraction in beef production forecast in 2023 and 2024, the United States is expected to remain a net-importer of beef for at least the next couple of years until production is able to expand again.”
If we take a look at the other side of the trade balance sheet, according to BEEF Magazine, “Beef exports began to weaken in late 2022 and have been down year over year each month for the first seven months of the year. Beef exports to Japan are down 13.9% for the January to May period compared to last year.”
In total U.S. beef and beef product exports year-to-date (January-March) in 2023 were down in terms of value by 22% when compared to the same period in 2022, and down 8% in terms of volume. A noted reason for these declines is the relatively strong U.S. dollar, which has made beef exports relatively more expensive, and recent and anticipated declines in U.S. beef production.
Getting a leg up for the American cattle producer in this global trade climate will be difficult given the current policy landscape. We can ship beef or foreign cattle in and pass it along as domestic product all while the exchange rate and cheaper cost of production completely plays in favor or foreign producers.
With the fall run coming up, marketing your cattle has to be on your mind. Contact a Hot Barn today to discuss your cattle marketing needs. Stockmens Livestock, Lemmon Livestock, North Platte Stockyards, St. Onge/Newell, Platte Livestock Market, Tri County Stockyards, Torrington Livestock, Creighton Livestock Market, Bassett Livestock Auction, Mobridge Livestock, Ogallala Livestock Auction Market, and Presho Livestock. Catch them all on CattleUSA.com.