Heat, Heat and Heat
Risk management decisions are becoming more important than ever as temperatures and drought situations increase in the West. The current drought monitor has the drought increasing at D4 further into Nevada, and current pasture and range conditions are the worst they have been since 2012-2013. Currently, this is leading to large sales of livestock with producers deferring income due to drought, according to a recent report from Washington State University. While they are predicting an explosive female cattle market in the future, the questions become how to survive the right here and right now. Below is a map of the drought outlook on June 15, 2021. It is not easy to report that most producers are seeing an increase in their input costs, especially related to fuel and hay. There is a little bit of light in that the packers are starting to make money after COVID, and the value of the dollar is down. The USDA, Farm Service Agency Livestock Feed Program (LFP) is still taking applications and producers need to apply if they are purchasing hay. The 2021 payment rate is $31.18 per head per month. The fact sheet to the program is located at the following link: https://www.fsa.usda.gov/Assets/USDAFSA-Public/usdafiles/FactSheets/livestock_forage_program_lfp-fact_sheet.pdf Overall, fire is the most concerning. There have been horrible pictures from Arizona. The heat and the afternoon winds do not help this situation. Producers are encouraged to continue to sign up for programs that assist with feed costs and water hauling, livestock wells, facilitating conservation practices, and the support programs hit by fire. There is also the RMA Pasture, Rangeland and Forage program that assists in drought situations. All this support is to assist ranches through difficult times. I can’t remember being over 100 degrees in early June. I expect this heat in July into August, but not this early. This combined with afternoon winds does not make life easy. I hope that every producer is doing okay and can survive the conditions.
20 JULY/AUGUST 2021
The Progressive Rancher
www.progressiverancher.com
