USDA Trims Beef Outlook, Raises Pork Production Forecast

Producers may need to prepare for margin pressure in livestock feeding, while dairy farmers could benefit from stronger product demand.

WASHINGTON (RFD-TV) — The U.S. Department of Agriculture (USDA) September WASDE report adjusted 2025 livestock projections, signaling shifts in beef and pork markets while leaving poultry largely steady.

The USDA’s outlook points to slightly weaker cattle and hog prices as supplies remain ample, but dairy and poultry show firmer pricing. Producers may need to prepare for margin pressure in livestock feeding, while dairy farmers could benefit from stronger product demand.

BEEF AND DAIRY CATTLE

For beef, the USDA lowered production slightly as lighter-fed cattle weights offset larger-than-expected slaughter. Exports were reduced due to weaker Asian demand, while imports were raised with strong inflows from Australia. Cattle prices are projected to be lower, with the 2025 steer price forecast trimmed to $176 per hundredweight (cwt).

In dairy, milk production was left essentially unchanged, but the USDA raised its Class III and Class IV milk price forecasts on more pungent cheese and butter demand. The all-milk price for 2025 is now forecast at $22.00/cwt.

PORK

Pork production was increased due to higher-than-anticipated slaughter numbers. Exports were raised modestly, reflecting stronger demand from Mexico and Asia. The 2025 hog price was adjusted downward to $65.50/cwt, pressured by larger supplies.

POULTRY

For broilers, production forecasts held steady, but the USDA lowered exports on weaker international demand. Prices are expected to remain firm at $1.29 per pound for 2025. Turkey production and trade forecasts were unchanged, with prices stable at $1.24 per pound.

Related Stories
Higher ocean freight raises export costs just as global grain competition intensifies.
Rooster is a full-time farmhand, right-hand man on Shawn Raff’s cattle and dairy operation in Eatonton, Georgia.
While the 2018 Farm Bill received an extension under the “One, Big, Beautiful Bill” Act, the National Pork Producers Council wants lawmakers to do more to support the sector.
Strong plant output and rising exports contrast with softer domestic blending demand, suggesting margins are poised for volatility.
Milk output is rising, but steep drops in Class I–IV prices are tightening margins heading into 2026.
Tight cattle supplies continue to drive lower beef output despite heavier weights.
Weaker U.S. dairy prices come as value-added exports expand and ingredient inventories tighten, creating mixed market signals for producers.
WTO gauges point to agricultural raw materials trade growing more slowly than overall goods, reinforcing the need to manage export risk and monitor policy shifts closely.
Improved export prospects and higher crop prices strengthened future expectations despite continued caution about spending.

(Tags: USDA, WASDE, Beef, Pork, Dairy, Poultry, Livestock Markets)

Agriculture Shows
From soil to harvest. Top Crop is an all-new series about four of the best farmers in the world—Dan Luepkes, of Oregan, Illinois; Cory Atley, of Cedarville, Ohio; Shelby Fite, of Jackson Center, Ohio; Russell Hedrick, of Hickory, North Carolina—reveals what it takes for them to make a profitable crop. It all starts with good soil, patience, and a strong planter setup.
Champions of Rural America is a half-hour dive into the legislative priorities for Rural America. Join us as we interview members of the Congressional Western Caucus to learn about efforts in Washington to preserve agriculture and tackles the most important topics in the ag industry on Champions of Rural America!
Featuring members of Congress, federal and state officials, ag and food leaders, farmers, and roundtable panelists for debates and discussions.
The goal of “Where the Food Comes From” is as simple as its name implies — host Chip Carter takes you along on the journey of where our food comes from — and we don’t just mean to the supermarket (though that’s part of the big picture!). But beyond where it comes from, how it gets there, and all the links in the chain that make that happen.
Join markets specialist Scott Shellady, better known as the Cow Guy, as he covers the market-close, breaking down headlines that drive the commodities and equities markets with commentary from respected industry heavyweights.