United States-Concerns over high number of cows being slaughtered.

UNITED STATES-CONCERNS OVER HIGH NUMBERS OF COWS SLAUGHTERED.

Cow slaughter for 2009 through the week ending March 21 was up 6.7 percent from a year earlier. Dairy cow slaughter for this period was up 18...3 percent, but beef cow slaughter was down 2.7 percent from 12 months earlier. For the four-week period ending March 21, total cow slaughter was up but only 1.2 percent from the same period in 2008. Dairy cow slaughter for the period was up 18.3 percent, but beef cow slaughter was down 2.7 percent from 12 months earlier. Dairy cow slaughter was up but less than 50 percent of the total year-to-date at a 7.5 percent gain from a year earlier. Beef cow slaughter for this four-week period was down by 5.8 percent from the same period in 2008.

This data shows a slowdown in the reduction of the dairy herd, which is a result of milk prices substantially less than cost of production. Why the slowdown is occurring is not clear. The beef cow slaughter indicates beef producers have slowed the decline in the herd if not stopped it.

Additional reductions in both the dairy and beef industries are required to get prices at profitable levels.