• Skip to primary navigation
  • Skip to main content
Texas and Southwestern Cattle Raisers Association

Texas and Southwestern Cattle Raisers Association

To Honor and Protect the Ranching Way of Life

  • Who We Are
    • Why Join
    • Leadership
    • Staff
    • TSCRA Partners
    • FAQs
    • Newsroom
    • Sponsorships
    • Employment
  • What We Do
    • Theft and Law
    • Issues and Policy
    • Education
    • Young Cattle Raisers
    • The Cattleman Magazine
    • Disaster Relief Fund
    • Cattle Raisers Insurance
    • Cattle Raisers Trading Co
  • Events
    • Cattle Raisers Convention
    • Summer Meeting
    • Policy Conference
    • Ranch Gatherings
    • Ranching 101
  • Member Center
    • Join
    • Renew
    • Instructions
  • TSCRA Store
  • Show Search
Hide Search

Cow-calf Corner: A new year for cattle and beef markets

Derrell S. Peel, Oklahoma State University Extension Livestock Marketing Specialist

The cattle and beef market momentum at the end of 2022 has carried over into the first week of the new year.  The new year looks to contrast with last year with noticeably tighter cattle numbers, especially at the feedlot level, driven by previous herd liquidation and sharply lower feeder cattle supplies.  

The price of 500-pound, M/L, No. 1 steers at Oklahoma auctions averaged $227.50/cwt. the first week of 2023, up 19.3 percent year over year.  The price of 800-pound steers averaged $180.97/cwt., up 14.7 percent over the beginning of 2022.  The Feeder Cattle futures market anticipates higher prices and tightening supply fundamentals with a $26/cwt. contract price increase from the nearby January contract at about $182/cwt. to the November contract price over $209/cwt. at the current time.

The 5-market fed cattle price averaged $157.83/cwt. the first week of January, up 14 percent from one year ago.  The Live Cattle futures price for February is currently just under $157/cwt. while the December contract is priced at $164/cwt. at the current time.  

The Choice boxed beef price in early January was $283.62/cwt., up 5.8 percent compared to the beginning of 2022.  Beef demand in 2022 remained strong in the face of record beef production.  Beef product markets do, however, sharply contrast between middle meats and end meats.  The Rib primal leads the way currently, up 33.8 percent year over year, with heavy boneless Ribeye (IMPS 112A) currently priced at $1,194.03/cwt, up 47.0 percent year over year.  The Loin primal is up 9.0 percent compared to last year with the tenderloin (IMPS 189A), up 25.1 percent year over year and the boneless Strip Loin (IMPS 180) up 14.2 percent compared to one year ago.  Sirloin tri-tip (IMPS185D), however, is currently 17.2 percent below levels in early January 2022.  It appears that food service (restaurant) demand is carrying much of the strength in beef markets compared to retail grocery. 

End meat markets are doing well to hold steady year over year. The Chuck and Round primals are priced about equal to last year with numerous chuck and round cuts at or below year ago levels.  The Brisket primal starts 2023 down 29.7 percent from year earlier levels.  Beef demand remains a concern and will bear close monitoring in the coming months.  Numerous macroeconomic threats persist and decreasing beef production will keep pressure on to push beef prices higher.  While there is scant indication of “trading down” among beef consumers thus far, shifts in beef product demand are more likely in the coming year.

Drought remains the biggest issue for many producers aggravated by persistently high feed costs.  The revenue side of cattle production will be less of a concern in 2023, at least as far as cattle prices go.  However, managing and maintaining production and managing the rising cost of production will continue to be major challenges for cattle producers this year.

Looking back on the livestock markets Derrell Peel, OSU Extension livestock marketing specialist, says cattle producers faced a lot of challenges in 2022 on SunUpTV https://www.youtube.com/watch?v=W_vGiDmdYH4&list=PLglOSpV-TcadvUT94k2ZDaOvQF9BRvTGs&index=1

Written by:
Chrissy Fly
Published on:
January 9, 2023

Categories: TSCRA Update

Recent Posts

Cow-calf Corner: Assessing calf vigor 

February 1, 2023

Barry Whitworth, DVM, Senior Extension Specialist, OSU Department of Animal and Food Sciences In …

Continue Reading about Cow-calf Corner: Assessing calf vigor 

Texas & Southwestern Cattle Raisers Association announces summer 2023 internship opportunities

February 1, 2023

Texas & Southwestern Cattle Raisers Association is now accepting applications for summer 2023 …

Continue Reading about Texas & Southwestern Cattle Raisers Association announces summer 2023 internship opportunities

Crime Watch: Bull shot near Iowa Park

February 1, 2023

Texas & Southwestern Cattle Raisers Association reports a one-year-old registered Red Angus bull …

Continue Reading about Crime Watch: Bull shot near Iowa Park

Footer

Who We Are

Why Join
Leadership
Staff
TSCRA Partners
FAQs
Newsroom
Sponsorships
Employment

What We Do

Theft and Law
Issues and Policy
Education
Young Cattle Raisers
The Cattleman Magazine
Cattle Raisers Insurance
Cattle Raisers Trading Co.
Texas and Southwestern Cattle Raisers Association

Information

Cattle Raisers Blog
News Releases
Bereavements
Events
Media Kit
Tip Hotline
Get Involved
Links

Membership

Membership Center
Membership Center Instructions
Join
Renew
  • Email
  • Facebook
  • Instagram
  • Twitter
  • YouTube

PO BOX 101988
FORT WORTH, TX 76185

1-800-242-7820

© 2023 Texas & Southwestern Cattle Raisers Association; All Rights Reserved.

COPYRIGHT | PRIVACY POLICY | TERMS OF USE