AUBURN UNIVERSITY — Alabama Cooperative Extension System specialists are closely watching cattle market trends for 2025 and beyond. In an industry known for volatility and fluctuating markets, proactive planning is essential to help producers make informed decisions. The current nationwide cattle market is suffering from record-low inventory of cattle, as this scarcity in numbers has caused prices to continually rise in the last few years. This low inventory does drive markets, but there are some things producers can do to manage challenges.

“Knowing the cost of production is a key element to preparing for an unpredictable market," said Max Runge, an Alabama Extension professor and economist. "Producers need to know exactly what they are protecting. Developing cattle that the market wants, improving management strategies and utilizing well-managed forage programs allow our producers to have peace of mind and raise quality animals.”

MAKING THE MOST OF OPERATIONS

Risk management plans through the U.S. Department of Agriculture help protect cattle producers against market volatility. One such plan is Livestock Risk Protection, which allows for profits when prices rise and protects against price drops by setting a floor price. Extension specialists encourage producers to consider insurance to protect their operations and themselves from potential losses.

Although demand for beef remains strong, the looming possibility of economic downturns could shift consumer demand to cheaper proteins. Market unpredictability is one of the many reasons producers should employ effective marketing strategies. Tactics like processing freezer beef, brand management, customer relations, local retail partnerships and packaging techniques all contribute to profit increases.

Diversifying to include forage production is another way cattle producers can maximize profitability. Forage production is a thriving industry in Alabama with numerous environmental benefits. Forages promote healthy grazing ecosystems and are beneficial to herd health. Additional forage production benefits include reducing the need for additional feed and enhancing soil quality.

OUTREACH OPPORTUNITIES

Wendiam Sawadgo, assistant professor and Extension economist, said Extension supports Alabama cattle producers with training and outreach activities every year.

“We will offer several opportunities for ranchers to hear from the specialists and researchers at the Alabama Agricultural Experiment Stations this year," Sawadgo said. "The Animal Science and Forages team hosts numerous and excellent beef cattle and forage field days statewide. After that, multiple workshops will be held to help cattle producers with risk-management strategies and economic planning education."

While fluctuating markets are difficult to navigate in any agricultural production, Alabama producers can rely on Extension specialists to help them plan for the worst and hope for the best.

For more information about upcoming field days, visit the 2025 Alabama Extension Statewide Beef and Forage Field Days web page at aces.edu. More information about beef cattle production and management is available at aces.edu/blog/category/farming/livestock.