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
The Ranger Road Fire spreads from the Oklahoma Panhandle into Kansas as high winds and red flag conditions persist
February 19, 2026 01:01 PM
·
President Donald Trump signed an executive order this week to accelerate domestic production of phosphorus and glyphosate, signaling that farm input availability is now treated as a national security risk.
February 19, 2026 11:18 AM
·
Smaller supplies could support cotton prices despite weak demand.
February 18, 2026 04:18 PM
·
Biofuel and corn producers await proposal as Renewable Fuels Association pushes for expanded ethanol access.
February 18, 2026 12:53 PM
·
Lori Stevermer with the National Pork Producers Council reacts to the USDA’s speedline proposal, the new Farm Bill’s fix for California’s Prop-12, and other policy developments impacting the pork industry.
February 18, 2026 12:18 PM
·
South Texas farmers say water shortages continue despite Mexico’s renewed payments under the 1944 Water Treaty.
February 18, 2026 11:39 AM
·
