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
American Farm Bureau Federation (AFBF) economist Danny Munch explains how the Emergency Livestock Relief Program application process differs from other USDA aid programs.
September 18, 2025 01:39 PM
·
According to the National Council of Farmers Cooperatives (NCFC), President and CEO Chuck Conner says, there is only one other option besides addressing ag labor shortages.
September 18, 2025 01:10 PM
·
For rural communities, this shift could mean new housing options for farmworkers and young families priced out of metro markets.
September 18, 2025 11:37 AM
·
Sen. Roger Marshall, a founding member and chairman of the Make America Healthy Again caucus, joined us with his thoughts on the commission’s latest report and the key ag-related issues.
September 17, 2025 04:36 PM
·
California rancher and former NCBA President Kevin Kester joined House Republicans on Tuesday to tout provisions in the Big, Beautiful Bill that support family ranches.
September 17, 2025 01:40 PM
·
September 16, 2025 02:25 PM
Producers may need to prepare for margin pressure in livestock feeding, while dairy farmers could benefit from stronger product demand.
September 16, 2025 12:42 PM
·
“Continue to help us push the New World screwworm back to the Darién Gap and hopefully towards eradication.”
September 16, 2025 10:49 AM
Understanding the Big, Beautiful Bill’s complex impact on SNAP benefits – that’s the topic of today’s Firm to Farm blog post by RFD-TV’s legal expert, Roger McEowen.
September 15, 2025 04:37 PM
·
