All segments of the United States beef industry are contracting, according to National Cattlemen's Beef Association president Andy Groseta, and the latest US Department of Agriculture Cattle on Feed report seems to support that conclusion.

"What we're basically looking at are the number of cattle on feed in the US being down about 7pc from a year ago," says USDA livestock analyst Shayle Shagam.

"Placements were down about 11pc, which is a fairly sharp decline."

Feedlot prices are lower and according to Mr Groseta with grain prices up and fed cattle prices coming down, profits are also in decline.

"We've lost $3.1 billion worth of business," Groseta says.

"In the last 11 consecutive months we've lost money in the cattle feeding business in the United States, and so it's taken a lot of equity out of our business."