The smallest U.S.  cattle herd in 60 years has the industry focused on rebuilding and causing concerns about consumer demand.  NCBA President Bill Donald says the drought severely cut into the U.S. herd this last year and has resulted in the tightest supplies in history.  However, that drought didn’t stop at the border and so supplies are tight in all of North America. 

Donald says the record low inventory has also driven up beef prices and as an industry they’re concerned about short term push back from the consumer and long term demand erosion.

Donald says the trouble is rebuilding the cattle herd, and in turn beef supplies, is a slow process in the cattle business.