Federally inspected weekly slaughter has fallen in the past three weeks 20,000 to 25,000 head below late Feb. and early March levels. Cleaning and plant maintenance is the primary factor for the smaller head counts.
Federally inspected weekly slaughter totaled 18,000 head fewer than the prior week. That was mainly because one packing plant was dark on Friday and possibly Saturday for cooler cleaning.
The two weeks in the middle of the month marked by extreme weather and insufficient fed cattle to harvest-space put a cap on cattle prices as packers found themselves well-supplied.
Extreme winter conditions and temperatures well below zero have been widespread across the country impacting most of the major central cattle feeding region.
Jan. fed cattle prices are normally choppy and we’re seeing that pattern in 2021. A primary difference, compared to 2020, is that last week’s average price is $14/cwt. lower, the same discount as the 5-year average.
We can’t count all the reasons why 2020 needs to find a hasty exit, but at least we can hope that a new year will bring on new dynamics for the cattle industry.
