Ongoing drought could spell lower future cattle supplies

According to the latest Cattle on Feed report, drought brought placement numbers lower.

Drought conditions across the U.S. continue to have an impact on the cattle markets, according to recently published data.

Farm Bureau economists say the most recent Cattle on Feed report was bullish with total cattle on feed down a percent from last year. Bert Nelson points out that states impacted by drought had lower placement numbers, and that could mean lower cattle supplies in the future.

“This is likely due to some tighter calf supplies along with higher feed and input costs amplified by the drought conditions. We’ve seen marketings for fed cattle totaling 1.86 million head for September, this is four percent above this time in 2021. Now, when we really see marketing high and placements become lower over a longer drawn-out period of time, this really signals that lower cattle supplies are in the future,” said Nelson.

USDA numbers show beef slaughter is up, which Nelson says shows that packers need to get cattle in to meet current demand. He says when supplies tighten up and demand remains consistent, we should see prices follow suit.

Related Stories
From barns to show rings, producers and students say that livestock events offer economic opportunity and life lessons. Let’s take a look at some shows across the southeast in Georgia, Virginia and Louisiana.
This year at CattleCon 2026, RFD Network’s Kirbe Schnoor caught up with Donna Emick from Pneu-Dart to get her perspective on why education, safety, and accountability matter in the field.
Nebraska’s largest wildfire on-record has burned 650,000 acres, with three other major fires also burning across the state, destroying pastureland and threatening cattle.
NCBA President Colin Woodall states that misinformation like this is damaging to cattle producers, the beef supply chain, and consumer confidence
NMPF’s Alan Bjerga discusses pending trade agreements with Indonesia and Ecuador and how they will benefit U.S. dairy producers and improve overall global competitiveness of U.S. ag products.
Strong exports support cattle and hog market fundamentals.

LATEST STORIES BY THIS AUTHOR:

USDA data show that 2.1 million landlords rent out 347 million acres, emphasizing a rising dependence on leased farmland as owners age and land supply tightens. ASFMRA’s David Klein also shares his outlook on land trends in Illinois.
Geopolitical tensions in the Strait of Hormuz disrupt fertilizer shipments, raising costs and creating uncertainty for U.S. farmers ahead of planting season.
APHIS Veterinary Medical Officer Dr. Chelsey Shiveley discusses USDA’s biosecurity resources available to poultry producers ahead of spring migration, increasing the risk of Highly Pathogenic Avian Influenza (HPAI) threatens commercial flocks.
Farm Legal expert Roger McEowen discusses new dicamba regulations, compliance requirements for growers, and the evolving outlook for herbicide use.
Nebraska Farm Bureau President Mark McHargue shares the latest on the wildfires, their impact on agriculture, and the challenges farmers are facing as they navigate both natural disasters and economic uncertainty.