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
“USDA can no longer keep wasting its time and personnel to deploy Commissioner Miller’s infamous traps, which USDA has deployed, tested, and has proven ineffective.”
October 14, 2025 01:19 PM
·
Even in this strong market, some beef producers are leaving money on the table by not following proven marketing practices.
October 14, 2025 12:03 PM
·
New U.S. fees on Chinese-owned and built ships took effect overnight, marking the latest escalation in maritime trade tensions between Washington and Beijing.
October 14, 2025 11:33 AM
·
President Trump is expected to press Argentina to take a tougher stance on China in exchange for political and economic support.
October 14, 2025 11:12 AM
·
Treat storage as risk management and logistics, and budget to break even since export growth is unlikely to absorb bigger U.S. corn and soybean crops.
October 13, 2025 04:34 PM
·
The FAA’s proposed rule to allow drones to operate beyond visual line of sight (BVLOS) could soon revolutionize how farmers and ranchers manage their land.
October 13, 2025 03:39 PM
·
