Riding Herd Saying things that need to be said. August 15, 2025 • www.aaalivestock.com
Volume 67 • No. 8
Luxury Beef I
by LEE PITTS
E-Cows
LEE PITTS
C
NEWSPAPER PRIORITY HANDLING
onsignors to this summer’s big video sales haven’t stopped smiling for a month. And it’s easy to see why. At Western Video Market’s sale in Reno, a consignment of 440 pound weaned steers brought $500.00 per hundredweight. For the mathematically challenged that’s $2,200 apiece! A load lot of 420 pound weaned heifers brought 452.50 and that’s over $1,900! No wonder ranchers aren’t holding back heifers when they bring that kind of money. The results of Northern Video’s Summertime Classic were equally stunning. I saw 230 weaned steers weighing 430 that brought $519 cwt. or 2,231.70! All the light steer cattle I saw sold well into the high four hundred per cwt. mark and most of them sold closer to $500 cwt than $400. And it wasn’t just the lightweight cattle that brought the chips. 372 weaned steers weighing 625 sold at $400. per hundredweight for a ticket of $2,500! One knowledgeable industry observer told a friend of mine,
“It’s no wonder cattle were so high with stocker operators making $500 per calf this last turn and cattle feeders doing the same.” I’m very happy for all of you who finally got paid for what
Don’t dig for water under the outhouse. you deserve. Congratulations! So why do I have this nagging feeling that all this euphoria may not end well for the cattle business in the long run?
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Get The Picture? Here are a few of my concerns going forward:
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Total red meat production under Federal inspection
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for the week ending Saturday, July 26, 2025, (at the time this story was being written) was estimated at 970.4 million pounds according to the USDA’s Marketing Service. This was 1.5 percent lower than the previous week and 5.6 percent lower than a year ago. The number of cattle in the United States on January 1, 2025 was 86.7 million compared to 115 million 30 years ago. During the third week of July 2025, beef cattle slaughter amounted to 549,000 head. In recent years there was hardly a regular week (without a holiday) where we didn’t kill at least 600,000 and usually it was more like 650,000! According to a report in
Axios, “Beef prices keep going up, and there’s no end in sight. Beef prices are at record highs, and industry experts tell Axios they could stay that way into 2026.”
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In a chart tracking the average price per pound of 100 percent ground beef from June 2019 to June 2025, prices rose from $3.95 in December 2020 to $6.12 in June 2025! That $6.12 per pound in June was up 12 percent from a year ago, according to USDA data. It’s the first time that ground beef has been above $6 since CPI data collection began in the 1980’s.
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Consider these current average prices per pound for various cuts of beef: Ground Beef... $5.00 – $7.00; Ribeye Steak... $12.00 – $15.00; Filet Mignon... $20; Chuck continued on page 2
Taking Stock USDA Opens For Disasters: Comment Period Developing a on Department ReLarge Animal Organization Plan .S. Secretary of Agriculture Brooke Preparedness Plan L. Rollins announced the opening
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hen a disaster is on the horizon, of a 30-day public comment period timely evacuation can become for stakeholders to provide feedthat much more challenging for back on the Department’s reorganization plan, owners whose horses and live- as outlined in the Secretary’s memorandum stock can’t simply squeeze into the back seat. (PDF, 2.6 MB) issued on July 24, 2025. These animals often depend entirely on their “As committed, we are continuing to hear owners to shield them from the elements within stakeholder feedback on the USDA Reorganitheir pasture, so having a proper plan in place is zation. All stakeholders – including Capitol vital for their safety. Hill offices, USDA employees, and members Dr. Kyle Johnson, a clinical assistant proof the agricultural community – are encourfessor at the Texas A&M College of Veterinary aged to share their input during the open comMedicine and Biomedical Sciences, offers inment period. We value your perspective as we sight into disaster risks and preparedness methwork to ensure that USDA is best positioned ods for large animal owners. to serve America’s farmers, ranchers, producers, and rural communities,” said Secretary The Threat Of Wind, Water, And Wildfires Brooke Rollins. Natural disasters that can impact horses and The reorganization proposal reflects Preslivestock include seasonal concerns like extreme summer heat and winter ice as well as sudden ident Trump’s commitment to relocate federal events like hurricanes, tornadoes, floods and agencies beyond the national capital region, reduce bureaucracy, and strengthen USDA’s preswildfires. Any storm with strong winds brings the ence in key agricultural regions across the country. As part of the plan, USDA will consolidate threat of flying debris. “When airborne, this debris can cause trau- operations, close the South Building, and rematic injuries — such as lacerations and punc- locate approximately 2,600 Washington-based ture wounds — to horses and livestock,” Johnson positions to five regional hubs: Raleigh, NC; said. “These high winds can also cause barns, Kansas City, MO; Indianapolis, IN; Fort Collins, CO; and Salt Lake City, UT. shelters, and other structures to collapse.” USDA is conducting the reorganization Flooding brought on by a storm’s heavy rain is another major threat for large animals ex- under its authority established in the Reorganization Plan No. 2 of 1953 (5 U.S.C. app.; 7 posed to the elements. continued on page 4
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t’s looking more and more like ranchers are going to have electronic ear tags shoved down their throats whether they like it or not. In the future, you’ll be required to use EID tags so your cattle can be scanned like a can of peaches in the grocery store. Here are ten events I see happening to ranchers someday as a result. Just remember, you read it here first. #10- The IRS will have a huge air force of drones for the sole purpose of flying over ranches to take an inventory so they’ll know exactly how many animals you have so that at the end of the year you’ll get an all-new inventory tax bill. Whatever happened to the unwritten rule that it’s impolite to ask a rancher how many cows he or she owns? #9- Not only will the feds have drones to count cows, ranchers will have their own drones to take a daily inventory. Then your neighbor will send you a feed bill for having five cows on his place for 27 days. If you thought the Hatfield and McCoy’s feud was bad just wait until ranchers start spying on their neighbors. #8- The Forest Service and the Bureau of Land Management will also have a drone air force too. One day after your due date for getting all your cows removed from your allotment they will do a flyover to make sure you got off on time. But because the EID tag is still in the ear of a dead cow that was either killed by wolves or shot by a short-sighted hunter, the feds will assess you a huge fine, take your allotment away and throw you in jail for not removing ALL your cows in a timely manner. #7- The USDA will say that their new rules will apply only to those cattle involved in interstate commerce. But is a rancher in California going to commit economic suicide because most of the California stockers are sold to feeders in Nebraska, Colorado, etc. and by not using EID tags he’s going to eliminate them from bidding on his cattle? #6- Auction markets are disappearing faster than a dozen donuts at a police station due to the U.S. beef cattle herd being the smallest it’s been in 64 years. This is really hurting some of the smaller auction yards. When
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