If too many cows are bred, will it affect the selling price?

Currently, my country’s beef supply is still in short supply. What will be the trend in the prices of imported beef and cows? The overall amount of imported beef is relatively small. And it basically supplies the mid-to-high-end beef market.

Let’s first talk about the current situation of imported beef. According to customs data, my country’s imported beef exceeded the 1 million tons mark for the first time in 2018.

And there are only a few major beef importing countries, due to the impact of mad cow disease. my country's management of imported beef is still relatively strict.

In the next few years, the scale of imported beef will not experience explosive growth. The scale of growth will be relatively stable. Moreover, the quality of imported products is generally relatively high, and the products supplied domestically are basically for the mid-to-high-end market. The impact on the domestic beef market is still relatively small. However, the domestic beef market will further expand, which will drive the domestic beef market.

At present, the mid-to-high-end beef market in my country is still relatively limited, and the main market is still the relatively mass beef market. Now the mass market is further expanding, and it will take some time for the market to transition to the mid-to-high end. Of course, this transition period may take longer. The mid-to-high-end market will increase at that time, but the share will be limited. Let’s talk about the situation of cows. Cows are the key to increasing beef production, and the price of adult cows is very high.

China’s beef market is constantly expanding, and cows play a very key role. Cow prices will only have room to rise in the future. There will basically be no decline. Because there are two reasons. The growth cycle of cattle is relatively long. The meat sold in these markets is basically cattle with the longest cycle. One calf a year, two would make the news.

Whether you are buying a cow for breeding or a calf for fattening. There is basically no profit within two years. Moreover, when breeding, it is relatively rare to only buy calves for fattening.

2. The breeding cycle of cows is relatively long. Under normal circumstances, cows basically give birth to one calf per year. And it can continue to produce for several years.

When raising cows, a single investment can yield benefits for several years. However, in the later stages of breeding, cows will produce fewer calves, and the meat quality of the cows is not very good, so there will not be much advantage in terms of price.

But when breeding, you can’t wait until then to sell. Cows should be sold when their reproductive capacity declines and when they are not too old. At this stage, the price of cows is still relatively high.

Breeding cows should be taken care of and managed well. When physical fitness and condition decline, they should be sold promptly. You can't wait until it is too old and loses its energy before you start selling it.

The price of cows will steadily increase as the beef market expands.