Cattle Ranching

Cattle Ranching

Brief Excerpt from Industry Overview Chapter:

Companies in this industry are ranches and farms that raise cattle, including those intended for dairy herd replacements, and feedlots that fatten cattle in preparation for slaughter. Major companies include Cactus Feeders, Five Rivers Cattle Feeding, King Ranch, and Simplot (all based in the US), as well as ANZCO Foods (New Zealand), JBS (Brazil), and SuKarne (Mexico).

COMPETITIVE LANDSCAPE

Demand is driven by food prices, population growth, and global trade policies. The profitability of individual operations depends on production efficiency and anticipating market demand. Large operators have some advantages in volume purchasing and efficient use of labor and equipment. Small operators can compete successfully by producing special grades of beef cattle and by controlling costs carefully. The industry is concentrated: the top 6% of farms generate about 75% of revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major services include raising live cattle and "finishing" cattle on feedlots in preparation for slaughter.