Needless to say, he was very happy. The demand for Angus is being reflected in the auction sale averages for the first nine months of the fiscal year. We are still in the liquidation phase of the cattle cycle and upturns in finished cattle prices are yet to come.
Several factors seem to be at work.
Sales for fiscal 1997 are projected at 300 million pounds, up from some 260 million pounds last year. Second is the shortage of high-quality cattle. Here's what economist and veteran cattle market watcher, Ed Uvacek had to say in the July issue of Beef magazine. For the last several decades, a USDA Choice lightweight carcass has demanded a premium price in the market. As late as 1990, over 80 percent of federally graded beef was Choice.