– James Mitchell, Livestock Marketing Specialist, University of Arkansas
USDA’s National Agricultural Statistics Service released the May Cattle on Feed report last week, detailing the status of U.S. cattle on feed inventories. As of May 1, 2024, the total inventory of cattle and calves on feed in U.S. feedlots with a capacity of 1,000 or more head stood at 11.6 million head. This figure reflects a 1% decrease compared to the May 1, 2023 inventory. This was the first time inventories were below year-ago levels since fall 2023. This was more a question of when inventories would dip below last year’s levels than if they would.
Placements in feedlots during April 2024 totaled 1.66 million head, representing a 6% decrease compared to April 2023. The detailed breakdown by weight category reveals specific trends: placements at less than 600 pounds were 7% lower year over year, 600-699 pounds were 10% lower, 700-799 pounds were 9% lower, 800-899 pounds were 4% lower, and placements for both the 900-999 pounds and 1,000 pounds and greater categories remained unchanged. This overall decrease in placements, particularly among lighter cattle, is expected to impact future market supplies.
The May WASDE report forecasts 2024 beef production at 26.62 billion pounds, which is 1% lower than last year’s production of 27.03 billion pounds. The May forecast for 2024 beef production also shows an upward revision of 484 million pounds from the January 2024 forecast. Heavier cattle leaving feedlots have contributed to the upward revision. Steer dressed weights are averaging 920 pounds or 18 pounds heavier than in 2023. Typically, dressed weights seasonally decline through the spring and summer months. So far, that has yet to happen in 2024.