CowCulate Replacement Value.

Top Producer, October, 2005 by Smith, Linda

Byline: Linda Smith

Mulling over decisions like whether to build your cow herd or sell your heifers? Last year's record cow-calf returns shifted the cycle to the rebuilding phase, but higher fuel costs may have a notable impact in the year ahead, says Scott Brown, University of Missouri economist. "Ranchers will face higher costs for utilities, hauling, lubrication and fertilizer," he says. "We also worry about consumer spending on beef. Instead of netting well over $100/ cow over out-of-pocket and pasture rental expenses, returns may drop to $30 to $40 much quicker than normal."

Last year was probably the optimal time to expand your herd, figures Dillon Feuz, University of Nebraska Extension economist, who expects calf supplies to rise in 2007 and...

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