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NDSU Economist Predicts Lower Cull Cow Prices

NDSU Economist Predicts Lower Cull Cow Prices
Best marketing may occur before October or after December.

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Cull cow prices likely will not increase to the high levels reached last August, says Tim Petry, NDSU Extension livestock marketing economist. 

Instead, prices likely will level off for the rest of the summer.

The typical seasonal price pattern for cows shows a sharp decline in October and November, when heavy beef cow culling occurs. That scenario likely is to occur again this year.

Other factors that may contribute to the decline are that the dairy industry's Cooperatives Working Together program is in the process of implementing another dairy cow buyout that could occur during the late fall marketing timeframe.

In addition, the western Canadian cattle-producing provinces are experiencing abnormally dry conditions. If that dry pattern continues, Canadian cow imports, which so far have been near last year's levels, could increase.

If possible, marketing cows before October or after December usually is a prudent marketing strategy, Petry says. That very well could be the case again this year.

Source: NDSU Extension Communications

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