LUBBOCK, Texas (RFD-TV) — Dairy and livestock producers across the Northeast are entering year-end planning with fresh reminders of how quickly markets, costs, and weather can change. Preparing for 2026 is increasingly about more than setting budgets — it requires a full review of risk management strategies to protect revenue and maintain financial stability.
The past year featured volatile milk prices, tight cattle supplies, shifting global demand, and rising input costs. Evaluating how tools such as Dairy Revenue Protection (DRP) and Livestock Risk Protection (LRP) performed in 2025 can help identify gaps and fine-tune coverage for the year ahead. Changes in expansion plans, debt levels, or facility investments should also be considered when assessing how much price risk an operation can realistically absorb.
Megan Clancy, a Livestock Insurance Specialist for Crop Growers, says updating break-even costs remains critical as feed, fuel, and operating expenses fluctuate. Scenario planning—testing outcomes under scenarios where milk prices fall, cattle prices soften, or feed costs rise—can clarify where protection is most needed. Aligning risk tools with operational and financial goals helps improve cash-flow predictability and lender confidence.
Farm-Level Takeaway: Reviewing risk management now can help dairy and livestock producers enter 2026 with clearer margins and fewer surprises.
Tony St. James, RFD-TV Markets Specialist
Strong yields and higher cattle prices helped stabilize conditions, but weak crop prices and rising carryover debt remain major challenges for Eleventh District farmers.
November 25, 2025 02:55 PM
·
Jake Charleston, with Specialty Risk Insurance, joins us now for an industry update and advice for cattle producers as they consider options for managing the risks of a murky market.
November 25, 2025 01:26 PM
·
The National Milk Producers Federation will launch a new advocacy campaign to secure a final vote, urging House lawmakers to approve the bill as soon as they return from the Thanksgiving recess.
November 25, 2025 01:09 PM
·
AFBF Vice President of Public Policy and Economic Analysis, Dr. John Newton, explains the factors contributing to the growing financial strain in the ag sector and the urgent need for swift economic support.
November 25, 2025 12:40 PM
·
Tyson’s Nebraska plant closure and falling Cattle on Feed numbers send cattle markets tumbling. Analysts warn of tighter supplies, weak margins, and rising global competition.
November 25, 2025 12:05 PM
·
One trader said the products entering the U.S. are primarily grind and trim, noting that the volume and type of beef, on its own, should not cause a major disruption. However, he says fund traders are reacting heavily to headlines rather than market realities.
November 24, 2025 02:42 PM
·
