Prices for beef and dairy cattle are favorable and likely will remain strong until producers begin rebuilding their herds. Independent consultant Nevil Speer said risk management during the good times is important to protect yourself during the bad times. “Typically, when we talk about risk management, producers turn to futures and options. The other tool that’s really important is Livestock Risk Protection.” Speer notes basic business risk management is also important during favorable times. “Let’s try to reduce our debt service from year to year and let’s try to build up some working capital reserves.” Listen to the whole interview with Nevil Speer here.
