12-13 IAN Milk Surplus
An interesting interaction with some big shots with the Idaho Dairymen’s Association. I learned that there were large gains in the milk supply in Idaho due to a mild winter and that a lot of dairy producers were sending dairy cattle to slaughter. I’m certainly no genius, as is evident from my reports, but I thought to myself warm winter… Lots of milk… Sending cattle slaughter… Connect the dots. As always, in all matters dairy, I called the executive director of the Idaho Dairymen’s Association, Bob Naerbout. I get him on the phone and he says: “I’m not going to BS you Dave, call my son Rick.” All right, I get Rick on the phone and he gives me a very clear and succinct answer to all my questions: “We are seeing higher than usual slaughter rates in the Western United States and in fact across the whole country. Beef prices are very high compared to historical averages which makes it attractive to cul at a higher rate and cash flow has been less than advantageous majority of this year and feed costs are extremely high and guys are looking at it saying she is not even paying her feed bill and not getting enough milk so they are more apt send her to slaughter. But what does a warm winter have to do with more milk? In winter months, if it is warm, she has to spend less energy making milk.”