Xinhua
05 Jun 2026, 15:15 GMT+10
SACRAMENTO, the United States, June 5 (Xinhua) -- U.S. ranchers are facing mounting pressure to sell or move cattle as drought dries pasture, hay supplies and livestock water sources across major ranching regions.
Data produced by the U.S. Department of Agriculture's (USDA) Agriculture in Drought program showed that 57 percent of U.S. cattle inventory was in areas experiencing moderate drought or worse as of Tuesday.
The U.S. Drought Monitor reported that 58.38 percent of the lower 48 states were in drought as of early June. USDA data further showed that 53 percent of the national hay inventory and 52 percent of alfalfa hay acreage were in drought areas, tightening the supplemental feed base that ranchers rely on when grazing conditions deteriorate.
Pasture conditions reflect the scale of the problem. USDA's National Agricultural Statistics Service rated 42 percent of U.S. pasture and rangeland poor or very poor in its Crop Progress report for the week ending May 31, up from 33 percent a year earlier.
Nebraska had the worst reading, with 80 percent of its pasture and range rated poor or very poor. Arizona followed at 75 percent and North Carolina at 73 percent, indicating that pasture stress extends well beyond western ranching states.
USDA reported that the total U.S. cattle and calf inventory stood at 86.2 million head as of Jan. 1, 2026. The American Farm Bureau Federation, citing USDA data, described that as a 75-year low.
The beef cow herd stood at 27.6 million heads, near multi-decade lows, according to USDA data. USDA's Economic Research Service has said its production outlook reflects seven years of declining beef cow inventories from 2020 to 2026, resulting in successively smaller calf crops.
In Wyoming, the pressure has already shown up at livestock auction markets. Wyoming news outlet Cowboy State Daily reported that Torrington Livestock Markets handled approximately 9,000 head in a drought-related sale in May, far above a normal seasonal pace of 400 to 700 head per week.
Trade publication Drovers quoted Kyle Petersen, the market's manager, on the conditions driving mountain ranchers to sell. "The problem is drinking water for a lot of these ranches, actually," Petersen told the publication.
In a Market Intel report on the U.S. beef and cattle market, the American Farm Bureau Federation said recent drought conditions had forced some ranching families to part with breeding genetics refined over decades. It said losses of this kind could take years to recover.
Oklahoma State University livestock economist Derrell Peel wrote in early May that beef cow slaughter was running more than 17 percent below year-earlier levels, indicating that producers were still attempting to retain breeding animals. USDA cautioned, however, in its May 2026 Livestock, Dairy, and Poultry Outlook that continued drought could push more cows toward slaughter, potentially interrupting early herd rebuilding.
Although not specific to cattle ranchers, broader farm financial stress has also increased. The farm bureau reported in February that Chapter 12 farm bankruptcies rose 46 percent in 2025 to 315 filings, the second consecutive year of increases, with the Midwest and Southeast recording the largest share.
The strain is reaching consumers. USDA reported that the national average retail price for all-fresh beef reached a record 9.64 dollars per pound (21.26 U.S. dollars per kilogram) in April 2026, an increase of at least 13 percent from a year earlier.
The U.S. Bureau of Labor Statistics reported that standard ground beef averaged 6.90 dollars per pound in April 2026. USDA forecasts beef and veal retail prices to rise 12.1 percent for the full year 2026.
The trade impact is also growing. USDA projected full-year 2026 beef exports at approximately 2.36 billion pounds (1.07 million metric tons), down 8 percent from 2025 and equal to roughly 9 percent of total production, below the historical 10 to 12 percent range.
Imports have expanded sharply in response. USDA projected 2026 beef imports at approximately 6.11 billion pounds (2.77 million metric tons), up 12 percent from 2025 and a new annual record, driven by demand for lean processing beef.
USDA baseline projections show the U.S. cattle inventory rising to 91.6 million head by 2034, while tight supplies are expected to keep cattle and retail beef prices elevated in the near term.
Rebuilding cattle supplies might take years, even if rainfall increases later this year, since ranchers need to retain heifers, breed them, and wait for calves to reach market weight, USDA said.
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