Cull Cow Prices Hold Firm Despite Seasonal Pressure

Firm live cow prices and shifting dairy-side culling suggest cull cow values may stay stronger than usual this winter despite weaker cow beef cutout trends.

LUBBOCK, Texas (RFD-TV) — Cull cow prices are holding unusually firm heading into late fall, bucking their normal seasonal decline even as beef imports and tariff policy dominate recent headlines.

According to Dr. David Anderson, Livestock Marketing Economist with Texas A&M AgriLife Extension, the market typically weakens this time of year as both beef and dairy operations increase culling after weaning and during herd management shifts. Those seasonal factors usually coincide with softer end-of-grilling-season demand, creating predictable price lows in the fall. But this year’s Southern Plains cull cow market has remained far stronger than expected.

Dr. Anderson notes that Southern Plains cull cow auction prices climbed to roughly $165 per cwt in June and have stayed near that level through the fall, slipping briefly before rebounding each time.

National average cutter cows have eased about $9 per cwt to $126, but live cow prices overall remain historically strong. The cow beef market, however, is acting more traditionally. The boxed cow beef cutout has fallen from $340 to $317 per cwt, and wholesale 90-percent lean trimmings have slid from $436 to $404 per cwt, both reflecting the usual fall decline in cow beef values.

Looking ahead, Dr. Anderson expects dairy-side culling to pick up. USDA’s latest report shows the dairy herd at 9.85 million head, the largest since at least 1993, with September milk production up 4 percent from last year.

Lower milk prices and strong returns from beef-on-dairy breeding are likely to pressure dairy culling higher, while beef cow culling should remain historically low due to tight cow inventories and incentives to expand. That combination — more dairy cows and fewer beef cows entering the pipeline — is expected to keep cull cow prices elevated deeper into winter.

Farm-Level Takeaway: Firm live cow prices and shifting dairy-side culling suggest cull cow values may stay stronger than normal this winter despite weaker cow beef cutout trends.
Tony St. James, RFD-TV Markets Specialist
Related Stories
Pete Gelber says caring for healthy cows and making the most of available resources go hand in hand.
The University of Nebraska is sharing research to help cattle producers adapt to changing conditions.
Analysts say today’s strong calf prices may mask narrowing long-term advantages for beef-on-dairy programs.
Growth in dairy exports will be crucial as domestic milk output rises. Strong foreign demand can help absorb extra production, reduce inventory, and support milk prices.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

CME Group’s Fred Seamon discusses the latest Ag Economy Barometer for July and what the survey reveals about producer sentiment, farm finances, and the outlook for agriculture.
RFA President and CEO Geoff Cooper discusses year-round E15 legislation in the Farm Bill, the upcoming Senate Agriculture Committee markup, and developments in Renewable Fuel Standard exemptions.
ASFMRA’s Troy Swee discusses farmland values, property demand, and key considerations for landowners navigating today’s farmland market.
A proposed three-year program would provide expedited reciprocal switching when merger-related service falls below specific standards
USDA says Australia’s trade advantages continue to challenge U.S. almond exports despite strong demand in China
Experts say slower replacement cycles are shifting the focus from fashion trends to supply chain profitability.