LUBBOCK, Texas (RFD-TV) — U.S. beef processors are navigating the tightest cattle supplies in decades, but Cargill says it has no plans to close any primary beef plants even as Tyson prepares to shut Lexington, Nebraska, and scale back Amarillo.
For producers, this signals widening differences in how major packers are responding to shrinking cattle numbers, rising procurement costs, and restricted imports from Mexico due to New World Screwworm controls.
Cargill confirmed it will continue operating all eight of its North American slaughter plants and is investing in modernization, including a $90 million upgrade at its Fort Morgan, Colorado, facility. The stance contrasts sharply with Tyson’s expected 7 percent national capacity reduction, which will narrow competitive bids in parts of Nebraska, Kansas, and the Texas Panhandle.
Other packers remain stable: JBS and National Beef report no pending closures, and several regional plants built after the pandemic continue running, though some operate below intended throughput. Looking ahead, tight feeder supplies may still pressure margins across plants through 2026.
Farm-Level Takeaway: Cargill’s commitment to keep plants open helps preserve competition as Tyson removes capacity amid historically tight cattle supplies.
Tony St. James, RFD-TV Markets Specialist
Meet agronomist and Soybean FarmHER Jenny Mennenga of LeRoy, Illinois. Jenny also grew up on a small farm in Iowa!
May 11, 2017 12:05 PM
· FarmHER
When tragedy struck at Westfork Horse Ranch, owner/FarmHER Amy Heitland used her story to spread her passion for horses to the future generation of girls.
April 20, 2017 11:00 AM
· FarmHER
Kate Johnson didn’t set out to become an expert on all things cheese—but today, this
FarmHER is the owner/founder of
The Art of Cheese School where she teaches chefs at every level.
April 20, 2017 10:37 AM
· FarmHER
Cristen Clark knows a thing or two about exactly what her blog title says: Food and Swine. Learn more about a day in her life.
March 08, 2017 03:27 PM
· FarmHER
The Colorado ranch where Elin operates her business just happens to be the same ranch where she spent her summers as a child.
March 08, 2017 01:32 PM
· FarmHER
Growing up as a sixth-generation Iowa FarmHER, Lexi Marek’s first passion is her pigs. She started showing pigs at livestock shows early on at the young age of five.
March 07, 2017 12:30 PM
· FarmHER
