2022 Cattle Industry Convention and NCBA Trade Show Recap
Read highlights from the annual National Cattlemen’s Beef Association Cattle Industry Convention and Trade Show.
Every year, the convention brings together cattle ranchers from across the nation to voice their opinions, share knowledge, and celebrate the cattle industry. From February 1 through 3, American cattle ranchers gathered in Houston, Texas for the cattle industry convention. This year, AgAmerica attended the show to connect with cattle ranchers and learn more about the latest developments in the U.S. beef industry.
The convention included a variety of events centered around supporting the future of American beef. Cattle ranchers and beef industry leaders had the opportunity to network and attend the NCBA trade show, meetings, and educational sessions. Some of the major topics of discussion this year included:
- Managing risk in beef cattle operations;
- Livestock policy; and
- Sustainable beef.
Here is a brief overview of the main topics covered in this year’s cattle industry event.
Managing Risk in Beef Cattle Operations
This year, risk management was a leading topic at the cattle convention. The January USDA Cattle Inventory report found that the size of the U.S. cattle herd is continuing to decrease. As a result, stronger prices are predicted for 2022. Despite this bright outlook, convention attendees were still encouraged to manage risk and take appropriate measures to set themselves up for success.
Josh Maples of Mississippi State University shared that risk management will be key this year to lock in a good price to protect your operation against risk.
“My encouragement to producers is even when prices are increasing, look for chances that make sense for the cattle that you’re selling to try and lock in a price that protects your operation.”
Livestock Policy and Regulatory Issues
This past year, the cattle industry was at the forefront of ag policy news. As expected, livestock policy was a central topic discussed at the 2022 Cattle Industry Convention. Key policy issues related to livestock that were discussed include:
- Competition in the beef industry;
- Supply chain bottlenecks;
- Trade;
- Foreign land ownership;
- Water regulations;
- Taxes; and
- Conservation.
One of the policies discussed included the Cattle Price Discovery and Transparency Act cattle legislation that consists of cash trading mandates. The cash trading mandates have already been opposed by the American Farm Bureau Federation and Texas A&M’s Agricultural and Food Policy Center. In fact, their report found that cash mandates would lead to lower cattle prices and higher wholesale and retail prices. On Wednesday, NCBA members voted in opposition to the cash trade mandates, and the NCBA board later approved this vote. The NCBA stated that it opposes, “any mandate on cash trade volumes for cattle or any other legislative or regulatory policies that would limit the methods producers utilize to market cattle.” In addition, they updated their policy book to specify that lobbying efforts should focus on enhancing fed cattle price discovery and market transparency. Furthermore, with U.S. beef exports projected to increase by five percent this year, trade has a high impact on American cattle ranchers. This market-based price discovery stance should also help to increase negotiated trade.
“We’ve made evolution and progress trying to understand what it means to help influence negotiated trade. Today, I think, was a lot of that discussion coming together within the industry, to come together with an industry-driven approach to solve that.”
Demonstrating Sustainable Beef
Sustainability in the cattle industry was another topic of discussion at the convention. From enhancing soil health to engaging in conservation programs, American cattle ranchers are trailblazers in sustainability, despite the narrative often perpetuated in mainstream media. As part of these initiatives, NCBA is focused on telling the story of sustainable beef and the cattle ranchers behind it. Clay Burtrum and Brad Hastings of the Federation of State Beef Councils shared how NCBA leverages various communication media to tell the inspirational story of sustainability in the beef industry.
“With the challenging year cattle producers have faced, NCBA is focused on strengthening our industry for the future. By highlighting economic, environmental, and social sustainability, we are addressing the long-term needs of the cattle industry and advancing policies that will contribute to business success, economic growth, and respect for our way of life.”
Cattle Industry Goals for 2022
Cattle ranchers are always looking towards the future and planning for what is ahead. One of the most anticipated parts of the 2022 Cattle Industry Convention was the reveal of NCBA’s goals for 2022. Overall, these goals revolve around economic, environmental, and social sustainability.
Key pillars of cattle industry goals in 2022 include:
- Increasing access to market data and risk management tools;
- Limiting regulatory burdens on farmers and ranchers;
- Developing solutions for labor shortages and transportation bottlenecks; and
- Expanding technology.
Supporting a Bright Future for American Cattle Ranchers
Animal agriculture is an important part of the biogenic carbon cycle and a frontline fighter against global food insecurity. American cattle ranchers are continually evolving their operations to produce dense protein nutrition for a growing global population in the most sustainable way possible.
AgAmerica’s flexible land loan spectrum empowers cattle ranchers to embrace change and optimize production. From buying land for grazing to increasing working capital for operational investments, we have customizable loans that give ranchers the freedom to make decisions that will move their operations forward.
Explore AgAmerica’s cattle ranch loans now and take hold of your financial freedom.
