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(NAFB.com) – The CattleFax Outlook Seminar at the 2024 Cattle Industry Convention and NCBA Trade Show in Florida shared expert market and weather analytics last week. The smallest beef cow inventory in the last 50 years, coupled with historically strong demand, led to the highest average fed cattle and calf prices in 2023. As reduced cattle numbers and beef production continue over the next three years, leverage and profitability will continue to favor cattle producers. Despite record prices, an expansion will likely be delayed once again. Lingering drought, high input costs, limited labor availability, high interest rates, and market uncertainty all serve as headwinds against growing the cow herd. Cow and bull slaughter is forecast to be 6.5 million head in 2024, down around 800,000 head from 2023. “Though cattle inventories may stay elevated for a few months, they are expected to decline significantly through the second half of 2024,” says Kevin Good of CattleFax.