Texas, which is the largest cattle-producing region in the United States, is in dire straits because of the drought. According to NTD, cattle are increasingly being sold off as it is cheaper to sell cows for slaughter than to buy hay and fodder. This trend is likely to have an impact on the price of beef as the supply will shrink.
Texas, the largest cattle-producing region in the US, is in the grip of a drought. Because of this, farm owners are increasingly selling off livestock.
This trend is likely to have an impact on the price of beef, as the supply will be reduced.
Since mid-July more than 93% of Texas has been at the mercy of the drought. In some areas it has been classified as extremely severe. This is the highest level at which pastures and crops are lost, water levels in reservoirs, streams and wells are reduced and emergencies occur.
Paul Craycraft is co-owner of a cattle auction in east Texas. He says it’s cheaper for farmers to sell cows than to buy them hay and feed.
PAUL CRAKRAFT, co-owner of the cattle auction: We’ve had an unknown number of days where it’s been 37 degrees. All the grass is gone. The cows are starting to lose weight. They are weak because there is no protein. That’s why we’re getting rid of a lot of cows.
There are over 5.4 million beef cows in Texas. That’s 14 per cent of the US stock. And for the past two months, about 75 percent of the cows sold at auction have been sent to slaughter. In normal years, 30 to 40 percent of the cattle go to slaughter. At the same time, meat producers from all over the country travel to Texas to stock up while they can.
DAVID ANDERSON, economist: We’re going to face a reduced beef supply, which means higher prices.
Ranchers say the sale of cattle will reduce their herds significantly.
WESLEY RATCLIFF, rancher: These were mature cows, and they could still calve. But instead of waiting for them to give birth to calves, we sent them to the meat packing plant.
The last time there was a severe drought in Texas was in 2011. Many cattlemen left the industry then. This year the situation is the same.