LUBBOCK, Texas (RFD NEWS) — Tight beef supplies and rural job losses are colliding with a major shift inside the U.S. dairy sector, creating new momentum for farmer-led solutions to expand domestic production of ground beef. Western United Dairies says its “Make America More Ground Beef” proposal reflects changing market realities — particularly excess milk and record dairy cow numbers driven by protein demand.
According to CoBank analysis by Corey Geiger, U.S. dairy farmers have responded aggressively to market incentives. Butterfat production has surged 5 percent to 6 percent year over year, pushing the national milkfat average near 4.3 percent and creating an oversupply. At the same time, massive investment in protein-focused dairy processing — including cheese, whey, ultra-filtered milk, and yogurt — is reshaping milk checks, with protein poised to be the dominant revenue driver for years to come.
That protein focus has kept dairy cow numbers at 30-year highs, now near 9.6 million head, and is supported by strong demand for beef-on-dairy calves. Geiger suggests we may begin to see dairy farmers cull cows, thereby providing an influx of lean ground beef.
Western United Dairies argues that the USDA can use existing authority to better align these trends, increasing domestic beef throughput without new legislation or imports while keeping packing plants open.
Currently, processors import lean beef trimmings to mix into ground beef to meet the domestic demand.
Farm-Level Takeaway: Protein-driven dairy growth is boosting beef supply potential, creating an opening to support rural jobs and ground beef availability.
Tony St. James, RFD NEWS Markets Specialist
December 10, 2025 11:03 AM
Stable U.S. fundamentals continue for major crops, but global adjustments in corn, soybeans, wheat, and cotton may influence early-2026 pricing.
December 10, 2025 10:31 AM
·
Tariff relief and new trade agreements may temper food costs by reducing import costs.
December 09, 2025 11:55 AM
·
Grain farms still have strong balance sheets, but another stretch of low profits will force hard cost cuts, especially on high-rent, highly leveraged operations.
December 09, 2025 11:41 AM
·
Tight Credit, Strong Yields Define Early December Agriculture
December 08, 2025 07:30 PM
·
Lewie Pugh with the Owner-Operator Independent Drivers Association (OOIDA) discusses the gap in truck driver education programs and how it impacts road safety and supply chain economics.
December 08, 2025 03:49 PM
·
Cattle imports from Mexico remain stalled amid the New World screwworm outbreak. At the same time, Tyson closures add pressure on Nebraska producers and markets ahead of the USDA’s upcoming Cattle on Feed Report.
December 08, 2025 01:55 PM
·
Southern producers head into 2026 with thin margins, tighter credit, and rising agronomic risks despite scattered yield improvements.
December 08, 2025 12:04 PM
·
Record yields and exceptionally low BCFM strengthen U.S. corn’s competitive position in global markets.
December 08, 2025 12:00 PM
·
