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
Lower U.S. and Mexican production means tighter sugar supplies and greater reliance on imports headed into 2026.
November 22, 2025 11:00 AM
·
Tyson’s closure reflects deep supply shortages in the U.S. cattle industry, tightening packing capacity, weakening competition, and signaling more volatility ahead for cow-calf producers and feedyards.
November 21, 2025 07:02 PM
·
Gary Hall, co-founder of Hollywood Impact Studios Rehabilitation, joined the program to discuss using agriculture to provide opportunities and mentorship for at-risk youth in Southern California.
November 21, 2025 02:25 PM
·
Screwworm.gov has targeted resources for a wide range of stakeholders, including livestock producers, veterinarians, animal health officials, wildlife professionals, healthcare providers, pet owners, researchers, drug manufacturers, and the general public.
November 21, 2025 02:09 PM
·
Sen. Roger Marshall discusses the Senate’s unanimous passage of the Whole Milk for Healthy Kids Act and what expanded milk options could mean for students and dairy farmers. Industry groups say it is a win for student nutrition and dairy producers.
November 21, 2025 01:19 PM
·
Crop producers face tightening credit and lower incomes, while strong cattle markets continue to stabilize finances in livestock-heavy regions.
November 21, 2025 11:58 AM
·
