The Drovers 2024 State of Beef Industry report found that 23% of cattle ranchers who had reduced their herd due to drought conditions are not planning to rebuild their stock. This is significantly higher than the 14% who answered the same way in 2023. This anticipated buyback stall may slow the typical rebuilding cycle of U.S. cattle herd inventory. That means national inventory levels may stay closer to their current 70-year low.

However, a smaller number of cattle doesn’t mean less beef. Increased efficiency means ranchers can create more beef from fewer cattle compared to previous generations. Even so, the industry is closely watching for when — or if — some ranchers will rebuild herds.

Read more on cattle herds here.