Cattle on Feed Report Signals Herd Expansion Has Not Started

USDA photo by Kirsten Strough

Glynn T. Tonsor, Ph.D., Department of Agricultural Economics, Kansas State University said the USDA Cattle on Feed Report reinforces the position that breeding herd expansion has not yet started. Additional breeding herd liquidation in January would suggest a lower calf crop in 2025.

Tonsor predicts the earliest cattle herd expansion could start would be 2026. Dryness in the MidWest and the capital needed to expand the herd will continue to be headwinds.

The USDA estimated October 1 inventory at 11.60 million. This was similar to 2023. Placements in September were estimated at 2.16 million. This was down 2% from 2023. Marketings were estimated at 1.7 million. This was a 2% increase from 2023.

The USDA estimated that 39.7% of cattle on the feedlot were heifers. This is virtually the same as reported in 2023.

Read more from the Cattle on Feed Report here.