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Over My Shoulder

published: April 16th 2010
by: J.D. Sartwelle, Jr.

March is gone and if the beginning of spring hasn’t reached you yet, it soon will.  March started wet, began to grow, got kicked in the foot, cause winter didn’t want to quit; but longer days and the tilt of the earth will soon warm us up and we’ll sure nuff see growing weather ahead of us.  March markets for the most part were good to cowpeople as we saw increases in the fed market and a continuation of higher calf and feeder cattle prices as well as the cow and bull trade.  There was even big time news from elections and from elected officials.  To say the least, March was active.
    March began with a cold front and rain over most of the state and continued during the month with faster and faster moving fronts that brought more rain and even snow to many areas.  Farm boys that began the month with limited planting accomplished worked a little land and planted between fronts with slightly warming temperatures.  End of month finally saw nighttime as well as daytime temperatures increase but still be too cool and too wet in some areas to get much outside work done. 
    Obviously, sub moisture is plentiful most everywhere, but as we go along there will be a need for additional top moisture for grass as well as crops. 
    March was full of non industry news as well as much ag industry news.  Beginning with primary elections at home and across the nation at first of the month, health care debate on the national scene seemed to be all anybody talked about and then finally house passage and signing by the President.  The political maneuvering hasn’t stopped yet and looks like it will continue for a long time.  On the agriculture front, several key senators and house members have petitioned the administration to insist that Japan immediately grant increased market access for U.S. beef.  Others have asked that the administration resolve the year long Mexican trucking dispute that pulled funding from the pilot program of cross border trucking that was/is a part of NAFTA.  There was news of more states trying to get ahead of the animal rights folks by enacting state regulations and assurances for animal welfare.  There was even a new bill in the U.S. House that is backed by the Humane Society of the U.S. (HSUS) entitled “Prevention of Farm Animal Cruelty Act”.
    The bill would set animal confinement rules for producers who sell food to the federal government.  Is it to be considered by the Ag Committee? NO; the bill has been filed in the House Committee on Oversite and Government Reform. If we don’t take care of our own business, there are others who will.
    Probably the biggest bombshell to hit the air ways since the reports of bad science and false reports in the global warning controversy is the United Nations owning up to bad science in the four year old definitive report entitled “Livestock’s Long Shadow”.  Now, the report is coming unraveled, thanks to efforts by researchers at the University of California, funded, in part by the Beef Checkoff Program, that debunks livestock’s role in the emission of greenhouse gas (GHG).  The world we live in!
    Fed cattle took an upward spiral during the month as fed cattle prices rose from the middle eighties to the high nineties before backing off at end of month.  The market was supported by higher cutout values, significantly lighter carcass weights, increasing drop values and higher futures.  Packer margins were well into the black.  There are those that are saying that either cutout values will retreat or cash cattle and futures will come roaring back.  The divergence of the two segments, they say, will not last for long.
    Meanwhile at the markets, with fed cattle prices as a cue, moderating temperatures and abundant moisture, will allow plenty of green grazing to began a re-growth stage that can graze a lot more cattle than during the winter.  Demand is/was good for all calves, regardless of weight, sex, or kind, but was particularly good on any grazing weight cattle that could go back out to finish up green grazing.  Most of the calves coming to town were well conditioned because of the winter spent on their mommas.  Light weight calves prices well over the dollar mark were common with a good many heavy weight cattle either side of the dollar.  Slaughter cows and bulls reached decade highs as very few came to town.
    The pork complex trended lower most of the month and ended in the fifty dollar neighborhood.  Low priced pork product competes with our beef on the grocery shelf.
    Spring is here with the need for warming temperatures and a continuation of top moisture.  Spring time brings baby calves and when it appears that we have something to eat it becomes an unbeatable combination.