Prices in U.S.A.

Press, 22 June 1979, Page 9

Prices in U.S.A.

Talking of high cattle prices, we have really not heard anything yet in this country. The “Angus Journal,'’ the official journal of the American Angus. Association, of March this year is naturally pre-occupied with high cattle and beetprices and the defence of those prices in the face of consumer criticism.

The journal reports that Angus and Angus crossbred steers dominated the inter-breed competition at the 1979 National Western Stock Show in Denver, Colorado. The grand champion steer of the show was a 12631 b (574 kg black entry from South Dakota that brought its owner $9 per lb or a tidy $11,367 (SNZIO,9OB). The purchaser was apparently a restaurant at Estes Park, Col-

orado. The big priced steer was sired by an Angus bull out of a crossbred Angus cow. This was obviously an exceptional Sale. The reserve grand champion made $2.50 per lb and the reserve champion Angus 90c. per lb.

The journal editorial talks of commercial bred Angus heifers selling in groups for $7OO (SNZ672) or more per head. At the 1979 National Western Angus bull sale the 50 lots averaged $6llB (SNZSB7I) and the top

bull brought $30,000 ($NZ28,788). “In case you missed it, the USDA (United States Department of Agriculture) reported that the number . of cattle . and calves on U.S. farms and ranches on January 1, 1979, was down 5 per cent from a year, earlier” the journal continued. “This is 10 per cent below January

1, 1977, and the fourth consecutive year of beetcow herd reduction. This type of herd reduction is what may help bring about the $lOOO (SNZ96O) cow.” The journal gives particular prominence to the views of the farm editor of a radio station in lowa who went to some trouble to make the point that it wasn’t only meat and beef that had gone up in price in the United States.

In another part of the journal there is a reference to an “extender” or “helper” to make precious meat or beef go further in the national hamburger. It is reported that a really concerted advertising programme over recent months has resulted in the

product selling to housewives at close to three times the cost of the hamburger it was supposedly “stretching.” “The power of advertising is really something,” is the comment appended to this report.