The variety of feeder and stocker cattle bought in the course of the first 4 months of 2023 was about 4% increased than throughout the identical interval in 2022, in line with information from the USDA-AMS “Nationwide Feeder and Stocker Cattle Abstract.” Robust costs and chronic drought in some areas probably contributed to those increased totals regardless of the smaller calf crop in 2022.
Proven within the chart beneath, receipts have typically adopted the seasonal sample of declining gross sales by way of the primary 4 months. This dataset contains public sale, direct, and video/web gross sales which might be reported to USDA. It doesn’t seize all feeder and stocker cattle transactions and the report notes that “receipts differ relying on the variety of auctions reported” – however comparisons over time will be informative when contemplating present market dynamics to earlier years.
On the floor, the stronger receipts totals are at odds with the two% smaller calf crop in 2022 than in 2021. Nevertheless, the info are most probably indicating market timing variations as a substitute of adjustments in complete cattle stock. Cattle costs have been considerably stronger this 12 months as in comparison with a 12 months in the past and drought continues to be a key concern in Texas, Oklahoma, Kansas, Nebraska and different areas which is limiting grazing alternatives. These elements have probably led to extra cattle transferring into feedlots or develop yards sooner than regular. In comparison with the five-year common from 2017-2021, receipts are 1% decrease to this point in 2023.
The report additionally offers details about the combination of steers and heifers and weight ranges and suggests barely fewer heifers and lighter cattle total. The proportion of heifers was 40.9% in the course of the first 4 months of 2023. That is about 1% decrease than in 2022. The % of cattle weighing above 600 kilos can also be decrease at 72.6% in comparison with 73.9% a 12 months in the past.
Trying forward, public sale receipts will improve seasonally as summer season arrives. Nevertheless, total provides this 12 months are anticipated to be smaller. The estimate of the anticipated calf crop for 2023 will likely be launched on July 21as a part of the mid-year USDA “Cattle Stock” report.
