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
Todd Janzen with Janzen Schroeder Ag Law explains the updated ag data use agreement model and what it means for farmers and companies alike.
January 29, 2026 01:25 PM
·
UT Extension also offers tips to help consumers stretch their grocery budgets, including meal planning, sticking to a shopping list, and choosing store or generic brands.
January 29, 2026 01:13 PM
·
Early indications suggest the U.S. cattle industry may be nearing the end of its liquidation phase. Oklahoma State University livestock economist Dr. Derrell Peel says the industry could be at or near the cyclical low.
January 29, 2026 12:44 PM
·
Sen. Amy Klobuchar has four years remaining in her Senate term and could decide to continue serving in that role while campaigning for Governor of Minnesota.
January 29, 2026 11:51 AM
·
Beef x Dairy cattle with strong genetics and documentation are earning prices comparable to native feeders.
January 29, 2026 08:00 AM
·
Reliable waterways lower costs, protect export demand, and support long-term farm profitability.
January 29, 2026 06:00 AM
·
