Regional feeder cattle prices

Cow-calf production is widespread across the country. According to the Cattle report for January 1, 2025, the five largest beef cow states have 39.1 percent of the total beef cow herd but a total of 18 states have at least 2 percent of the total beef cow inventory. The majority of calves move to the middle of the country as stocker or feeder cattle and are assembled into larger groups, culminating in relatively concentrated feedlots. The top five cattle feeding states have 71.9 percent of total cattle on feed. Most feeder cattle change hands at least once to as many as four or five times by the time they are finished in the feedlot. Feeder cattle prices are the thread that connects and coordinates production and marketing between sectors that frequently have no contact beyond market transactions.

Feeder cattle prices around the country reflect local supply and demand conditions and the economic process of moving cattle to the middle of the country where feedlot production is concentrated. Figure 1 shows the average price of 500-pound, M/L, No. 1 steers in selected states for the first three weeks of April. The map illustrates the typically pattern of prices across the U.S. The prices range from a high of $410.01/cwt. in Nebraska to a low of $362.66/cwt. in Mississippi, a spread of 11.5 percent from high to low. It is generally true that the highest feeder cattle prices will be in Nebraska with prices declining in all directions away from Nebraska.