LUBBOCK, TEXAS (RFD NEWS) — Strong calf prices are not yet enough to trigger herd rebuilding as drought and rising input costs continue to limit expansion decisions. Analysis from Hannah Baker, University of Florida Extension beef economist, highlights growing pressure on cow-calf producers across the Southeast.
Drought remains a major constraint, with all of the Southeast experiencing some level of dryness and about 75 percent in severe to extreme conditions. Stressed forage, combined with early-year freezes, has reduced grazing availability and increased reliance on purchased feed.
Farm-Level Takeaway: High prices alone may not drive herd expansion.
Tony St. James, RFD News Markets Specialist
Input costs are adding further pressure. Diesel prices are running roughly 55 percent above a year ago, with some areas topping $6 per gallon. Fertilizer prices have also jumped, with potash, UAN, and urea all posting significant year-over-year increases, raising concerns about forage quality and production.
Despite those challenges, cattle prices remain historically strong. Steer calves in the Southern Plains are up sharply from both last year and the five-year average, supported by tight supplies and strong demand.
President Donald Trump says a deal is nearly done on lowering beef prices, but he has not released details.
October 17, 2025 11:31 AM
·
Large carryover stocks continue to put pressure on commodity prices, creating uncertainty for growers looking to market their grain.
October 16, 2025 04:20 PM
·
Peel says Mexico has a much greater capability to expand its beef industry than it did 20 or 30 years ago in terms of its feeding and packing infrastructure.
October 16, 2025 03:59 PM
·
Record crops are increasing grain storage needs, prompting safety experts to remind producers of the risk of grain bin entrapment during harvest.
October 16, 2025 01:26 PM
·
The impacts of the government shutdown have reached commodity growers with crops to move, ag economists monitoring the harvest without key data reporting, and meat producers in need of new export markets.
October 16, 2025 01:03 PM
·
In a statement provided to RFD-TV News, a USDA spokesperson reiterated President Trump and the USDA’s commitment to farmers in difficult economic times.
October 16, 2025 11:57 AM
·
