December and the end of the year is on us and it seems like both just got started. My-oh-my, where does time go? December will end the year wet after experiencing the harshest weather so far this winter and maybe even for the past few years; not only in our state but the nation as well. Local markets at first of month saw light numbers as weather hampered movement in the county and at the end on the month most markets saw no sales activity. The fed cattle trade saw an increase in activity and prices at the end of the month and put on a couple of dollars to end at the $82.00 level. The only political activity out of Washington for the month was the vote to raise the debt ceiling and the Senate debate over health insurance reform. It seems that insurance reform is a long way from health care reform which was the rally cry way back when.
My, what a year this one has been! Extreme to extreme seem to set the pattern throughout the year in all that we did. Rainfall totals in most areas will be close to what we call normal annual rainfall, but it certainly doesn’t reflect how miserably dry and difficult an operating year that it really was. 2009 started dry, ended wet; first half of the year couldn’t grow grass to take care of a cow, and ended with our cattle in pretty good shape to start the winter; first of year we couldn’t make any hay and ended the year with hay not made because of excessive and constant moisture. Most will scramble for enough hay stocks to make the winter that started wet and looks like it will end wet. It’s certainly different from the past few winters.
The year started with an economy in shambles, and doubtful as to whether or not proposed solutions would give us a fix. We installed a new administration, at the first of the year, and in the ag world, still talked of a delay in the implementation of COOL, problems with NAFTA, horse slaughter concerns, and the National Animal ID System.
At mid year we saw the first of three dairy buyouts for the year; another BSE cow in Canada, a TB cow in Texas, fewer cattle, hogs, and chickens on feed and an export trade that reflected struggling economies in the rest of the world.
About midyear, the house and senate both jerked the funds from the National ID System (NAIS) and all at once started talking Supreme Court Nominee, Climate Change Bill and Cap and Trade and almost nothing else until the health care issue dominated the political processes till the end of the year.
However, while others were talking the major issues, there were a few others that seemed to be concerned with humane slaughter of all livestock species, how ground beef is to be handled, and a myriad of other things that others want to police for the ag community if we won’t or don’t do it ourselves within the existing rules that we have in place for our industry.
On the market scene, in the feedlots, first of year began in the low $80’s, saw a rise to a spring/summer high of $86.00 in May before declining to $82.00 then back to a high of $88.00 in October to end in the year in the lower $80’s. End of year saw significantly fewer cattle on feed as well as declining pork and poultry production. All in all, with a shift in eating habits to eating more meals at home, competition for the meat dollar was tough. Calf prices were fairly bright at first of year, turned down into the summer, and turned worse into the fall reflecting the uncertainty in the economy, the price of grains, feeding conditions, grazing conditions and the fed market outlook.
We’re kicking out a year that few would want to re-live. We faced and solved many problems and questions and as usual will begin the new year, like we always do, with other problems and questions. If we can take care of a cow with adequate moisture and growing conditions, we can usually find a way to survive the new set of problems and conditions that a new year brings. It looks like the start of a year that will have the moisture to grow the grass that we haven’t had the past couple of year. Come on New Year.
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