Livestock Marketing

COVID-19 Impact on Ohio’s Beef Industry

by: Garth Ruff, OSU Extension Henry County.

COVID-19 has had profound impacts on our food and livestock production systems here in the U.S. With regards to the beef industry the impact has been felt locally and throughout the country. Locally here in Ohio, with the JBS plant in Souderton closed, and reduced packing capacity in other regional packing plants, the local cash market for fed cattle has been greatly diminished. For the past two weeks, auction markets in the state have asked cattle feeders to hold off on bringing fed cattle to market due to packing plant closures and overall lack of packer demand.

Like most of agriculture, timing is critical for the livestock production supply chain to flow as it is designed. What is the impact of holding market-ready cattle in local feedlots? Economically, cash flow concerns for small to medium size cattle feeders may arise as packing capacity remains limited. Immediate impacts for cattle feeders include increasing days on feed, selling heavier and potentially higher yield grade cattle once the market returns. Most packing plants have discount schedules of Yield Grade 4 and 5 cattle in addition to carcass weight specifications. Continue reading COVID-19 Impact on Ohio’s Beef Industry →

Meat vs COVID-19; The good, the bad and the ugly of supply and demand

by: Stan Smith, OSU Extension, Fairfield County

To suggest that supply in local meat cases has been disrupted since schools closed and ‘stay-at-home’ orders were issued last month might be an understatement.

The good is simply this. We have more than adequate supplies of market-ready livestock on the farm to accommodate the consumer’s demand for meat.

The bad is that COVID-19 caused disruption to the meat supply chain that created short term shortages in the meat case, and fluctuations of price in both the meat case and especially livestock at the farm. Continue reading Meat vs COVID-19; The good, the bad and the ugly of supply and demand →