The present status of the range cattle industry in the Southwest is unusual in that the number of stock is relatively low, feed is generally abundant, which produces fat stock, and high prices are being obtained in sales. This combination of favorable circumstances has produced a desire to restock on the part of many ranchmen who feel their ranges might support more cattle than are now grazed. Experimental work on the Jornada Range Reserve in southern New Mexico has shown that the policy toward restocking should always be conservative. The range livestock industry ranks asone of the most important in the Southwest, and to make certain of a sustained, well-paying business, the permanent maintenance of range resources must be assured throughconservative grazing.