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Cattle industry continues to navigate a volatile market

Outside influences continue to cause volatility in the cattle market.

Jackie Moore with Joplin Regional Stockyards in Missouri says last week’s slaughter slowdown is problematic. “Last week they had the reported ICE raids in some of the packing plants in Dodge City and caused some turmoil,” he says.  “The fats I had, they canceled them.”

He tells Brownfield prolonged disruptions to the supply chain can impact profitability for producers, similar to what happened during the COVID-19 pandemic. “The packers made a fortune out of that deal because boxed beef went to all-time highs,” he says.  “It was a good deal for the packers, but it wasn’t such a good deal for the guys that feed them and it wasn’t good for anyone in the industry except the packers.”

Late last week the Kansas Livestock Association, the Oklahoma Cattlemen’s Association, and the Texas Cattle Feeders Association said the Immigration and Customs Enforcement operations had what they called a “massive chilling effect” on the legal, documented, and skilled workers that keep the supply chain moving.

According to the USDA reports, cattle slaughter on Monday was down 10,000 on the week and last Friday’s slaughter was down 14,000 on the week.