A proposed 8,000-head-per-day beef processing facility in South Dakota is joining a packed roster of planned and existing plants that could be forced to compete for shrinking cattle inventories in the years ahead.
An Agriculture Department survey reported a record high cattle inventory for the beginning of May, but feedlot placements are declining and could be showing the early days of a contraction in the cattle cycle.
The U.S. exported about $49.2 billion worth of ag commodities in the first quarter of 2022, a record for shipments in the first three months of a year and setting the pace for what could be an annual record, according to new data from USDA’s Foreign Agricultural Service.
The price consumers paid for groceries jumped 1.4% in February, helping to drive an overall increase in the Consumer Price Index of 7.9% over the past 12 months, the largest in 40 years, the Bureau of Labor Statistics reported Thursday.
Recent attention to the country’s meatpacking plants has illustrated that when the four dominant companies face disruptions to processing, smaller, independent operations don’t have adequate capacity to pick up the slack.
The ag sector and lawmakers aren’t letting up pressure for another trade deal with China, especially since China’s purchase agreement ended Dec. 31, but the Biden administration still has its focus squarely on the “phase one” deal that was struck during the Trump administration.