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Buyers vs. Sellers Market?
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<blockquote data-quote="Angus In Texas" data-source="post: 456427" data-attributes="member: 5611"><p>So Brandonm2,</p><p></p><p>If operations haven't been able to expand to meed demand why are people advising against purchasing cattle right now to meet demand. Obviously you have to look at the global market for beef but also a localized market as well. But from what I have seen so far the e.coli, and mad cow haven't had as drastic reduction in demand as many had thought would occur. And if ranch land is being replaced by corn, residential, and so forth then the available supply should decrease and if demand stays fairly constant then I would think that those who can expand should right? </p><p></p><p>As long as they don't overpay for the cattle they are expanding with. The only other option for expansion is to buy from an area where ranches are scaling back due to drought and ship them in or raise your own replacements.</p></blockquote><p></p>
[QUOTE="Angus In Texas, post: 456427, member: 5611"] So Brandonm2, If operations haven't been able to expand to meed demand why are people advising against purchasing cattle right now to meet demand. Obviously you have to look at the global market for beef but also a localized market as well. But from what I have seen so far the e.coli, and mad cow haven't had as drastic reduction in demand as many had thought would occur. And if ranch land is being replaced by corn, residential, and so forth then the available supply should decrease and if demand stays fairly constant then I would think that those who can expand should right? As long as they don't overpay for the cattle they are expanding with. The only other option for expansion is to buy from an area where ranches are scaling back due to drought and ship them in or raise your own replacements. [/QUOTE]
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