LIVESTOCK

                             CATTLE AND CALVES
Inventory of all cattle and calves in New Mexico as of January 1, 2002
remained steady at 1.58 million head. Beef cow inventory fell 7.8 percent
from January 2001, to 500,000 head. Ranchers maintained 100,000 heifers for
beef cow replacement, 5 percent higher than the previous year's total of
95,000. New Mexico continues to see a continued growth in milk cow numbers
as the January 1, 2002 milk cow inventory increased 11 percent from the
previous year, totaling 290,000 head. Dairy producers kept 60,000 dairy
heifers for replacement, 9.1 percent above the 2000 total. The inventory of
steers weighing 500 pounds and over increased 20,000 head from previous
year to 200,000. Bulls on hand remained steady at 50,000 head. The 2001
calf crop, including both beef and dairy calves, was estimated at 610,000
head, the same as a year earlier. Calves on hand totaled 270,000 head.
Cattle and calves on full feed for the slaughter market on January 1, 2001
fell to 108,000 head, 7,000 fewer than a year earlier. Although gross
income from cattle and calves declined by 12 percent from 2000 to $812
million, 2001 still remained one of the highest years on record.
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                           RANGE AND PASTURE FEED
Springtime emerged with range and pasture conditions rated in mostly poor
to fair conditions. As summer progressed conditions began to decline.
Supplemental feeding began early and by July ranchers were hauling water
for livestock as range conditions deteriorated. Ranges throughout the state
began to receive moisture in August but was spotty and not enough to
improve conditions. Pastures showed improvement ranging from very poor to
poor, but rain percentages remained below normal for much of the state.
Conditions again deteriorated in the fall as warmer temperatures
and lack of rain decreased the amount of feed available on pastures. Due to
the dry pasture conditions, marketings began earlier than usual. Insect
infestations took its toll in early fall devouring much of the winter
forage. By late October, 62 percent of the pastureland was rated in very
poor to poor condition.
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                                   DAIRY
The dairy industry in New Mexico continues its growth pattern with milk cow
numbers increasing as well as milk production reaching higher levels. The
number of milk cows during the year averaged 268,000 head, up 7 percent
from 2000. Milk production in 2001 was again at a record high 5.6 billion
pounds, up 6 percent from a year earlier when 5.24 billion pounds were
produced. Milk production per cow, at 20,750 pounds, was down 194 pounds
from last year. Among the 20 major milk producing states , New Mexico
ranked 5th in milk production per cow and 7th in total milk production. The
2001 year marks the first year milk has been ranked New Mexico's number one
cash commodity.

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                              SHEEP AND LAMBS
Sheep and lambs inventory as of January 1, 2001 totaled 230,000 head, down
11 percent from a year earlier. The number of breeding sheep decreased
15,000 head to 185,000 head during the year. Market sheep and lambs dropped
18 percent to 45,000 head. The 2001 lamb crop, at 140,000 head, was 11
percent below the previous year. Producer gross income decreased 32 percent
to $8.6 million. Wool was sheared from 235,000 sheep and lambs, producing
1.9 million pounds. Value of wool produced, dropped 4.8 percent to $1.32
million, as the average price of wool increased to $0.70 per pound.


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