In a drought situation, forage is normally reduced due to lack of adequate moisture. Moreover, the availability of hay may become limited, and hay prices often escalate. Cow-calf producers are faced with the integral decision to maintain their herds and supplemental feed or reduce the herd to minimize feeding requirements and costs. The management decision to maintain versus destock can significantly impact producer profits and financial position. This paper illustrates the financial implications of alternative management stocking strategies in a drought situation optimizing profitability of ranching operations.
Young, Alan M.; Clayton, Megan K.; Paschal, Joe C.; and Klose, Steven L.
"Economic Impact of Beef Cattle Best Management Practices in South Texas: Stocking Strategies during Drought,"
Journal of Applied Farm Economics: Vol. 2
Available at: https://docs.lib.purdue.edu/jafe/vol2/iss1/1