Choice beef prices may rise next yearChoice beef prices may rise next year

John T.
Barone

The U.S. Department of Agriculture reported cattle feedlot inventories at 11.9 million head, up 4 percent from a year ago. Drought in the Southern Plains continues to support early, lower-weight feedlot placements. So, even though feedlot inventories are larger than a year ago, supplies — particularly of choice-grade cattle — have been tight as more cattle are marketed at lower weights. Wal-Mart Stores Inc.’s switch from select to choice beef in its 3,800 U.S. stores will help put a premium on choice products at a time when lower slaughter weights are yielding less choice-grade cattle. 


U.S. beef exports for the first nine months of 2011 were 27 percent above a year ago, with exports to Japan and South Korea up 36 percent a...