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Cattle Ranching
First Research, March 2012, Pages: 10
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Executive Summary
Brief Excerpt from Industry Overview Chapter:
The US cattle ranching industry includes about 800,000 operators with combined annual revenue of about $60 billion. Major companies include Agri Beef, AzTx Cattle, and Cactus Feeders. The industry is concentrated: the top 7 percent of farms generate about 75 percent of revenue.
The cattle ranching industry includes ranches and farms that raise cattle, including those intended for dairy herd replacements, and feedlots that fatten cattle in preparation for slaughter. The industry doesn't include slaughter, processing, or packing operations. Meat processing is covered in the Meat Product Manufacturing profile.
COMPETITIVE LANDSCAPE
Demand is driven by food prices, population growth, and global trade policies. The profitability of individual operations depends on production efficiency and anticipating market demand. Large operators have some advantages in volume purchasing and efficient use of labor and equipment. Small operators can compete successfully by producing special grades of beef cattle and by controlling costs carefully.
PRODUCTS, OPERATIONS & TECHNOLOGY
Major services include raising live cattle and 'finishing' cattle on feedlots in preparation for slaughter.
Together, US cattle ranchers maintain about 91 million head of cattle. Beef typically is produced from cows (females that have borne at least one calf); steers (castrated males); heifers (females that have never given birth); and bulls under two years old. Major breeds include Angus, Hereford, and Simmental.
The operations of beef cattle ranchers revolve around breeding cows, feeding cattle, and providing veterinary care. Beef cattle ranchers mainly breed their own animals, with a traditional...
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