US packers earning more per head of cattle

07/02/2012
An economist working for the US Meat Export Federation, Erin Borror, recently confirmed to an industry committee that US packer firms are exporting more and more beef as a percentage of production.

She told the cattle industry’s joint international markets committee at the start of February that around 17% of fed cattle, by value, was exported in 2011.

Another point she made was that packers were now earning higher export revenues “right across the carcass”, with less concentration on the middle meats. In 2011, this provided an increase of $188 per head of cattle, on average, Ms Borror said. “When the packer is able to get more money for every piece, it means he can pay more for those fat cattle and it trickles all the way down the line to the cattle calf.”