Beef Cattle Outlook. Beef Producers should have a better 2003 as beef supplies will decline from 2002s levels. The countrywide drought in 2002 probably impacted the beef industry more than any other meat-producing sector as large number of animals were sent to market and cattle on feed were fed to heavier weights. Also, reduced forage production in Georgia and many other parts of the country resulted in smaller winter hay supplies and higher costs of production.

The widespread drought of 2002 will likely delay any rebuilding of the beef herds until late 2003. A key date for beef cattle producers to watch is January 31. That is when USDA will announce the U.S. Cow Inventory for January 1, 2003.

If the numbers for beef cows plus heifers held for replacements have increased that will signal herd rebuilding has begun. Once this occurs, beef supplies could drop markedly with Georgia cow-calf producers again seeing profitable prices for 2003 and into 2005.

If the beef cow herd inventory numbers do not show an increase, the signal will be that herd rebuilding has not yet begun and producers can still look for favorable prices for the next few years. (John McKissick and Curt Lacy)

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