for immediate release - North American International Livestock

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FOR IMMEDIATE RELEASE
Quality and Consistency Sell Cattle Regardless of Economic Conditions
By Jamie May
LOUISVILLE, KY- November 15, 2009—As visitors stroll through the cattle barn at the North
American International Livestock Exposition, some might assume the tight economy has
somehow spared the purebred livestock industry. Cattle still fill stalls. Sales feature standing
room only. Bidder numbers still fly high when the auctioneer hits the block.
But, it only takes one conversation with the producers gathered around the show boxes to
understand that they, too, are feeling the effect of poor economic conditions.
“It’s a fact: the economy isn’t good and it is affecting everyone,” Albert Stone,
Crossville, Tenn., simply stated. Almost everyone in the barn agreed. Ask anyone if the
economy is affecting the purebred livestock and show industry and they quickly assure you it is.
Competitive livestock may still be filling the barns at the North American, but back at the
farm, producers are feeling the crunch of declining cattle numbers and poor prices.
Purebred cattle breeders rely on both commercial and seedstock producers to purchase
their genetics and are finding that their customer bases are diminishing. A trend seems to be
facing the purebred business—good cattle still sell well, but average cattle aren’t selling at all.
As the fall livestock sale season is wrapping up, many producers see declining prices for
their middle-of-the-road livestock. Weston Geppert of Geppert Rock Creek Livestock, Mitchell,
S.D., explains that their family’s sale still attracted high-bidders, but the little guys who are at
every sale were not as prevalent this year, which, of course, makes any sales harder to run.
Kacey Holm, herdsman at Jungels Stock Farm, Kathryn, N.D., found the same trend to be
happening as he was traveling to sales around the Midwest. “The great bulls still sell, but the
good bulls that the commercial producers used to buy, just aren’t selling. Our commercial
buyers aren’t willing to spend the same amount of money that they used to spend, but take one
look at cattle prices and it is easy to understand why.”
Despite these discouraging trends, purebred producers are still optimistic. Dennis Hinch,
owner of Shady Bottom Ranch in Crossville, Tenn., states, “It is going to turn around, but the
feedlots must see an upturn before we do, because we depend on them to buy our cattle.”
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Hinch, who owns over 200 registered Red Angus cows, says he is lucky to have a loyal
commercial customer base. He notes, “While our customer base should theoretically keep us
afloat, I know quality is the only thing that holds true. I wouldn’t have reoccurring buyers
without consistency and quality.”
Hinch raises a point that many producers are taking to heart, especially in the show
world. Exhibitors still hold the same passion and excitement for their breeds, but their pocket
book just isn’t as full. So, like any smart businessman in the falling economy, seedstock
producers are focusing quality genetics and consistent products to make certain they still have
the great beef cattle to sell.
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