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
FarmHER Christina Woerner McInnis is revolutionizing soil health in Alabama with SoilKit, a cutting-edge tool.
September 26, 2025 11:55 AM
·
Listen to Alex’s Dirt Diaries episode today on all podcast platforms or tune into Rural Radio SiriusXM Channel 147 to listen, weekends at 5 a.m. and 4 p.m. ET.
September 25, 2025 04:45 PM
·
Michigan corn farmer and NCGA Vice President-Elect Matt Frostic will lead the task force. He joined us on Thursday to share his insights on the escalating corn crisis.
September 25, 2025 01:46 PM
·
Rising cow numbers and higher yields are boosting milk supplies, which may keep pressure on prices and farm margins into the fall.
September 25, 2025 01:01 PM
·
U.S. soybean farmers are growing increasingly frustrated by Argentina’s gains in Chinese grain contracts and Trump’s pledge of economic support for the South American ally.
September 25, 2025 11:51 AM
·
Estate tax relief reduces pressure, but succession planning remains the critical challenge for farm families.
September 24, 2025 04:57 PM
·
Midwest corn and soy producers are monitoring for disease and lower yields due to the ongoing drought over the last 30 days.
September 24, 2025 04:38 PM
·
Farm work is hard work, and as the harvest season brings heavier workloads, experts are urging producers to pay closer attention to joint pain and ways to prevent it.
September 24, 2025 04:24 PM
·
On this week’s episode of
FarmHER + RanchHER, host Kirbe Schnoor travels to Wilson’s ranch to see how she blends tradition and technology to raise elite Red Angus cattle.
September 24, 2025 04:02 PM
·
