Since early settlement days, livestock raising has been an important part of Kentucky's economy. The Bluegrass region, which offers excellent pasturage and drinking water, has become renowned as a center for horse breeding, including thoroughbreds, quarter horses, American saddle horses, Arabians, and standardbreds. In 1998, sales of horses accounted for 20% of Kentucky's farm receipts.
In 2003, Kentucky had an estimated 2.43 million cattle and calves worth $1.53 billion. In 2002, Kentucky farmers had an estimated 370,000 hogs and pigs, worth around $19.98 million. Kentucky produced an estimated 1.66 billion lb (0.75 billion kg) of milk from 128,000 dairy cows in 2001.