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.
Congressman Dusty Johnson of South Dakota joined us to discuss key ag policy developments and his outlook for agriculture in 2026.
January 15, 2026 12:51 PM
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Tight beef cow supplies and steady demand point to continued record-level cull cow prices in 2026.
January 15, 2026 11:23 AM
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Expanded school access to whole milk provides modest but reliable demand support for U.S. dairy producers.
January 15, 2026 10:14 AM
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Alissa White with American Farmland Trust joined us to provide insight into climate resilience efforts and strategies to help farmers manage weather-related risks.
January 14, 2026 02:20 PM
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The American Farm Bureau Federation’s 2026 agenda centers on labor stability, biosecurity, and economic resilience for family farms. Expanded DMC coverage improves risk protection for dairy operations facing tighter margins.
January 14, 2026 11:19 AM
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A high-stakes legal case in a South Dakota federal court concerning misleading country-of-origin labeling (MCOOL), such as “Product of the USA,” on food products, will significantly impact U.S. agricultural policy for years to come.
January 14, 2026 09:00 AM
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