For much of 2025, the livestock sector has been one of the few areas of agriculture enjoying strong commodity prices and strong returns.  But, there are some challenges the industry needs to overcome.  Phil Bass, Associate Professor of Meat Science at the University of Idaho said producers are enjoying great prices.

 

“Packers, I wouldn't say they're suffering as bad as sometimes have been, but they're definitely struggling to try to turn a profit, making sure that we're really tightening up efficiencies," Bass said.  "We're seeing a little bit of a decline in some of the export markets, that could be something to do with tariffs, maybe not, I don't know. I think the demand is still extremely strong for U.S product, both domestically and internationally.”

 

Trade Standoffs Have Already Impacted Beef

 

Bass added it’s important to keep in mind that South American and Australian beef producers have done a good job expanding their product in several Asian markets, many of which were traditionally U.S. destinations.

 

Speaking of markets and trade, what kind of impact is the trade dispute with Canada and Mexico having on the American cattle industry?  Bass said these situations can’t be oversimplified, and one-word answers will not fix the current problem.

 

“We absolutely in the United States need those cattle coming in," Bass said.  "We have to remember that these the feed yards that are near the southern border, and the northern border too, rely on keeping those yards and pens full, and there's certain times of the year that we cannot produce enough cattle to fill those pens domestically. And so, we rely on those cattle coming in from Canada, from Mexico.”

 

Bass added many people don’t appreciate the “cross pollination” that takes place between the three North American countries. 

 

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