Reuters – With almost all of Texas in drought, ranchers are sending more cattle to slaughter, a trend likely to increase beef prices over the long term due to dwindling supply.
Since mid-July, more than 93 per cent of Texas has been in drought, according to the United States Drought Monitor. As of mid-August, more than 26 per cent of Texas was at the highest level, characterized by widespread loss of pastures and crops as well as water shortages.
While conditions are especially acute in Texas, about 54 per cent of all U.S. cattle were in some form of drought as of Aug. 16, up from 36 per cent a year earlier.
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Cattle slaughter is high nationwide, temporarily increasing supply but portending tighter supplies in future years.
Paul Craycraft, co-owner of the East Texas Livestock Auction in Crockett, said dry pastures are depriving cattle of an important food source, while making it more expensive for ranchers to supplement their herds’ diet with hay and feed.
“We’ve had I don’t how many 100-degree (38 C) days and you can see out here, you know, the grass is gone,” Craycraft said. “The cows are beginning to lose weight. The cows are weak because there’s no protein. So we’re getting rid of a lot of cows.”
About 75 per cent of the cows sold at auction in the past two months have been sent to the slaughterhouse, Craycraft said, up from 30 to 40 per cent in normal years.
