Canada is getting closer to a cow herd liquidation
Canada cattle herd can go to a liquidation process in the next few months, as the drought that hit Alberta region is forcing the farmers to consider this option, reports Drovers magazine.
The hay price has already doubled compared to last year and some ranchers could be forced to sell animals to feedlots early in the coming weeks if the drought persists.
"Worst-case scenario is it dries up, and province-wide we just don’t have enough feed. You’re going to see a liquidation of the cow herd", said Charlie Christie, chair of Alberta Beef Producers.
In Canada, the extra culling is expected at a time when the herd was already growing at a limited rate. Farmers held 9.7 million beef cattle as of January 1, up less than 1% from a year earlier, according to the latest available government data. Some small ranches are even considering culling at least 10% of their cattle inventory.
Severe drought conditions have been reported also in Australia, Northern Europe and the US. Canada is the world's sixth-largest beef exporter.
(Photo source: Pixabay)
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