Cow-calf beef farmers will make less money in 2016 than last year, said a U.S. marketing analyst.
Jim Robb of the Livestock Marketing Information Center told cattlemen at Manitoba Ag Days in January that beef prices will decrease until 2018, but farmers will still make a profit, reported the Western Producer.
Robb told the crowd that U.S. cow-calf producers earned US $500 per cow in 2014, US $300 in 2015 and could see that drop to US $200 per cow this year.
The Western Producer reported Robb as saying that, adjusted for the dollar, Canadian beef producers should expect the same type of decrease.
Lower demand from Asia and an expanding herd are the reasons behind the lower prices.