Latest dairy herd buyout round unfortunate timing for beef producers
Washington Ag Today October 7, 2009 Cooperatives Working Together, CWT, is conducting its third dairy herd retirement round of 2009 as part of the dairy industry’s self-help program to try and improve the financial situation of milk producers. However, what’s good for dairy may not be good timing for beef producers. Dick Coon, President of the Washington Cattlemen’s Association explains. Coon: “The bulk of the cattlemens’ calves and cull cows hit the market in October and November in the northwest and we are very concerned that the additional dairy cows would be hitting the market at the same time and have the potential of further potential of depressing a market that is soft. We understand that the dairymen are under a lot of pressure and just feel it is unfortunate that they have to go with this third buyout right at this particular time.” Coon also recognizes the fact producers are taxing themselves for the retirement program., but still; Coon: “Gonna make it a little tougher for our guys to get full benefit out of the cull cow market this fall.” CWT’s herd retirement of late 2008, plus the two herd retirements so far in 2009, have sent 226-thousand head of dairy cows to market across the U.S. Producers wanting to participate in the current round must have their bids submitted by October 15th. I’m Bob Hoff and that’s Washington Ag Today on the Northwest Ag Information Network. ?
