LUBBOCK, Texas (RFD News) — Beef packing closures could leave some Midwest cattle feeders with fewer competitive outlets and higher transportation costs, according to Colin Woodall, CEO of the National Cattlemen’s Beef Association (NCBA).
In his interview with RFD News, Woodall said NCBA is not pleased with Tyson Foods’ latest restructuring, particularly the planned closure of its Joslin, Illinois, beef operation.
Woodall said the decision follows JBS ending slaughter at its Souderton facility, further reducing options in some regions. He acknowledged the industry has carried excess packing capacity and that packer losses made additional closures possible.
The producer impact depends heavily on geography. Woodall said cattle feeding has returned to parts of Illinois and Iowa, where Joslin had become an important destination for fed cattle.
Feeders farther from remaining plants could face higher freight bills and fewer nearby bidders. Woodall specifically pointed to Iowa producers who may now have to reconsider where they can market cattle economically.
He also warned that additional plants could close if the U.S. cattle herd does not begin to expand, making regional processing access increasingly important as producers evaluate feeding and marketing decisions.Farm-Level Takeaway: Losing nearby packing capacity could raise freight costs and reduce competitive marketing options for Midwest cattle feeders.
