Arkansas Cattle Farms Sustain $128 Million in Losses in 2012 Drought

by Arkansas Business Staff  on Monday, Nov. 19, 2012 12:00 am  

The 2012 summer drought has resulted in the state’s cow and calf producers losing an estimated $128 million this year, according to a report by the Arkansas Cooperative Extension Service.

The Extension Service called the drought one of the worst in Arkansas in decades. Cattle operations were particularly affected because the drought led to a marked decline in hay production, the need to buy supplemental feed and a decline in revenue from calf sales, among other results.

Breaking It Down
Estimated economic loss for cow-calf producers as a result of the 2012 drought:

Increased ExpenseAverage Loss ($ per Bred Cow)Total Estimated Loss for All Cow-Calf Producers in Arkansas (Millions)
Hay Purchased $64.91 $59
Decreased Revenue    
Hay Sales $10.06 $9.1
Calf Sales $66.28 $60.3
Total Estimated Loss $141.25 $128.4

 

 

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